Why Nigeria?

The electricity market situation in Nigeria is favourable

• There is not enough electricity

  • According to the International Energy Agency (IEA) only 40 percent of Nigerians have as at 2006 access to electricity, the majority of who are concentrated in urban areas
  • Large industry in the north is closing due to lack of reliable source of electricity
  • Price of electricity per kWh to producer is favourable
  • Many businesses and private households run diesel generators to generate electricity.

• Hydropower is not developed

  • According to the International Energy Agency, in 2003 Nigeria produced total energy of 214 580 thousand tones of oil equivalent (ktoe). Oil makes up 56%, combustibles 36% while Hydropower makes up only 674 ktoe or 0,31% of the total energy production.
    

• There is political will to develop the hydro electricity

  • In March 2005, President Obasanjo signed the Power Sector Reform Bill into law.
  • Nigeria has decided they must encourage the private sector to develop hydro stations with objective to reach 702 MW of installed capacity at 236 sites plus 400 MW from mini hydro plants.