The power sector regulator, the Nigerian Electricity Regulatory Commission (NERC) has issued permits to Golden Penny Power Limited, MTN Communications Nigeria Limited, Havenhill Synergy and others to generate electricity through mini-grid.
The regulator said nine new off-grid generation licences were issued in the first quarter of 2024 with a gross capacity of 109.69 megawatts and three new trading licences.
According to NERC, Golden Penny Power Limited was given a licence to build six off-grid gas plants in Lagos, Oyo, Ogun, and Cross River states targeting a total capacity of 100MW.
The communication giant, MTN, also got a permit to build four captive generation plants across Lagos State with a 15.94MW capacity.
Others including SweetCo Foods Limited, African Steel Mills Nigeria Limited, West African Ceramics Limited, Royal Engineered Stones Limited, and Armilo Plastics Limited were permitted to generate captive power.
“Captive power generation permits are issued to entities that aim to own and maintain power plants for generating power for consumption and not for sale to a third party. The commission issued nine captive power generation permits in 2024/Q1 with a total nameplate capacity of 52.57MW.
The report also indicates that other companies that got licensed for mini-grids are Daybreak Power Solutions, TIS Renewable Energy Limited, Auro Nigeria Private Limited, Watts Exchange Limited, Centum Dopemu Energy Services Ltd, and DMD Electric Limited, Lagos State.
According to Section 165(1)(m) of the Electricity Act 2023, the commission is permitted to award licence of mini-grid concessions to renewable energy companies to exclusively serve a specific geographical location indicating aggregate electricity to be generated and distributed from a site with the obligation to serve customers to request service.
The commission said it has been making continued efforts to encourage the development and utilisation of renewable energy by issuing permits and registration certificates for mini-grid development.