Th e Association of Power Generation Companies (APGC), says the federal government’s directive on direct sale of electricity to end users, will address major challenges in the nation’s power sector. Th e federal government had through the Nigerian Electricity Regulatory Commission (NERC), announced on May 19, 2017 that “GenCos in Nigeria are now free to generate and sell electricity to endusers in Nigeria”. Th e Executive Secretary of APGC, Joy Ogaji, said this at a news conference in Abuja on Wednesday.
Th e government’s decision tagged as the ‘Eligible Customers’ Regime”, is in line with the provisions of Section 27 of the Electric Power Sector Reform Act 2005 (EPSRA). Th e decision, when fully implemented would have very little interference on determination of power generated from the 11 electricity distribution companies in the country. Ms. Ogaji said that the declaration of eligible customers portends several benefi ts for the sector as it would also address some of the revenue shortfalls in the industryShe said the declaration would make GenCos to ramp up their generation capacities, to provide supply to eligible customers and address issues on fi nancial viability in the electricity supply value chain. Ogaji said that the envisaged guaranteed cash fl ow that would follow the practical implementation of the exercise would defi nitely boost morale of potential investors in the area of gas fi eld development
