POWER GENERATION POVERTY ELIMINATION

WHAT ECONOMIC OPPORTUNITIES AWAIT AN

ENERGY EFFICIENT NIGER STATE
By
Ahmed Yahaya Alhassan
1.0

INTRODUCTION
1.1 Mandate of Niger State Energy Sector at Present
1.2 Challenges of Niger State Energy Sector

2.0 ARTICULATION OF SOLUTIONS

2.1 CREATE NIGER STATE MINISTRY OF POWER
2.2 MECHANIZE ECONOMIC ACTIVITIES THROUGH RENEWABLE
ENERGY DEVELOPMENT
2.3 RENEWABLE SOURCES OF ENERGY
3.0

ENGAGE A TEAM TO STUDY CORPORATE ADOPTERS OF

IMBEDDED ENERGY AROUND THE WORLD

4.0

HOST THE VERY FIRST NIGER STATE ENERGY SUMMIT

5.0

DEPLOYMENT OF LOCALISED SOLUTIONS

5.1 Estimated Generation for 25 Local Government
5.2 DEPLOY MINI HYDRO
5.3 DEPLOY SOLAR
5.4 DEPLOY WIND
5.5 DEPLOY WASTE TO ENERGY

6.0

PROVISION OF ELECTRICITY NETWORKS

7.0

CONSERVATION OF POWER

8.0

PHASED DEVELOPMENT (May 29, 2015 2019)

9.0

CONCLUSION

POWER GENERATION POVERTY ELIMINATION

WHAT ECONOMIC OPPORTUNITIES AWAIT AN ENERGY
EFFICIENT NIGER STATE
By
Ahmed Yahaya Alhassan
1.0 INTRODUCTION
I start this presentation with a word that intends to create
awareness of the sad situation in which a great state is facing.
A government that is not serious about creating an improved
economy based on mechanised activity that can be achieved
through the development of improved power for its citizen.
The present administration has paid mere lip service to
generating much needed power for its people, advantages
which would have elevated and improved their living standards.
Power and energy viz-a-viz electricity attracts people, industries
and investors like bees to honey, what this means is more jobs
and opportunities and social reforms for most if not all.
Energy is a fundamental input in the development of any
society. The amount of energy per capita is to foster
sustainable development largely on the stage of investment.
There has, however, been a decline in the energy supply from
the three hydro-power stations and this has affected the energy
allocation to the state, despite the increase in power demand
arising from the growth in the economy and population.
2

Henceforth, the State Government should desire to develop

adequate and reliable power supply for its socio-economic
activities, with the vision to consolidate the position of Niger
State among its peers.
The energy crisis which hit the world in the early 1970s was a
wake-up call to the developed countries, with their large
demand for fossil fuels, to pay greater attention to their energy
security. Those of them who depended on oil imports realized
how vulnerable they were and were pushed into a search for
alternative energy sources. They put a great deal of research
effort into developing renewable energy sources as a way of
securing their energy futures.
Since 1957 (the International Geophysical Year), scientific
evidence has been building up concerning global warming and
climate change. Since the Industrial Revolution the burning of
fossil fuel (coal, petroleum and natural gas) has been releasing
into the atmosphere greenhouse gases (GHGs), notably carbon
dioxide, and these have been trapping heat warming up the
atmosphere. The world has become increasingly conscious of
the threat which this development poses to civilization and of
the need to mitigate global warming by drastically cutting down
the rate of GHG emissions. One way of doing this that has been
embraced by many countries is to develop renewable energy
resources which are more environments friendly. The result is
that there is now a booming market in renewable energy
technologies around the world.

Over the past two or three decades, the linkages between the
availability of energy and poverty alleviation and the potentials
of

renewable

energy

resources

for

off-grid

rural

electrification have been well documented. It is now generally

agreed that energy in general and renewable energy in
particular, has a major role to play in the actualization of the
MDGs.
Niger State Energy Sector is to be seen;
First, in terms of the socio-economic profile of the State,
with particular reference to current energy use and
general future energy needs; and
Secondary, in terms of the energy implications of the
development plans of the State.
With an area of about 86, 000 sq km. Niger State is one of the
largest States of the Federation. The 2006 population census
put its population at 3, 950, 249, made up of 1, 917, 524
females (48-5%) and 2, 032, 725 males (51-5%). There are
more than 20 ethnic groups, as well as people from other parts
of Nigeria and elsewhere.
The most important economic activity by far is agriculture,
employing up to 85% of the population. The extensive, bush
fallowing system of farming is the most commonly practiced;
the main crops grown are rice, yams, sorghum and millet, with
cowpeas, melon, ground nuts, soya beans, sugar cane and
cotton as subsidiary crops. Farmers still rely on such simple,
age-old tools as the hoe and cutlass. This is true both for land
4

preparation, planting and harvesting, as well as much for the

processing of agricultural produce. Fishing is an important
occupation in the riverine areas.
Niger State is home to a large population of nomadic Fulani who
keep cattle, sheep and goats. In rural areas, virtually every
household keeps domestic animals in small numbers, including
sheep, goats, chickens and ducks.
Other

economic

activities

in

the

State

include

public

administration, business, and arts and crafts. Manufacturing

industry is of limited importance as at present.
Amongst all the ethnic groups the cultural inclination is such
that men are expected to provide resources for the family while
women are expected to manage these resources and fend for
the family. Men do the more strenuous farm work and engage
in various non-farming activities as well. The woman, on the
other hand, assist with the less strenuous farming tasks, such
as weeding, harvesting, storing, clearing and processing of
crops. Women also engage in minor trading. One of the biggest
challenges facing the state is how to mechanize economic
activities in the state. Developing renewable energy will help in
no small measure in tackling this challenge.
1.1 Mandate of Niger State Energy Sector at Present
1-

Ensure capacity building programme for staffers towards

achieving the desire organisational objective.

2-

Formulate policies and guidelines for the generation and

distribution of Power in consonance with existing Federal laws
on this issue.
3-

Liaise with Power generating transmission and distribution

agencies already on the ground within and outside the
State.

4-

Conceive,

plan

projects

and

programmes

for

the

development of hydroelectric Power producing Areas of

the State.
5-

Handle all ecological problems connected with Power and

Energy in the state.

6-

Supervise the activities of HYPERDEC.

7-

Conduct research into other potential sources of Energy

and explore ways of improving on existing sources.

8-

Plan and develop small and large hydroelectric Power

Stations in Niger State.

9-

Conduct studies on our Rivers to assess Hydro potentials

of the State.

10- Supervise

and

construct

Dams

for

the

purpose

of

generating Electricity.
11- Liaise and cooperate with International Organization on
PPP or other energy related projects on behalf of the State
Government.
1.2 Challenges of Niger State Energy Sector
6

 The yearly approved budgetary allocation, for some subhead in accessible or fully implement by the department
A lack of appreciation of the role of energy in general and
renewable

energy

in

particular

in

socio-economic

development
A lack of awareness of the role which renewable energy
could play in the socio-economic development of the
State;
Lack of a technological culture which makes renewable
energy

development

import-dependent

and therefore

expensive and sometimes inconvenient;

High initial cost of some renewable energy technologies,
such as solar and hydro.
Lack of monthly funding (i.e. impress) hinders the regular
activities of the sector

2.0 ARTICULATION OF SOLUTIONS

2.1 CREATE NIGER STATE MINISTRY OF POWER
At present, it is the Ministry of Works that houses a Directorate
of Energy. We read earlier the constraints ad challenges faced
by this organization. With a vision to have a robust and
sustainable power sector that fully supports the socio
economic needs of Niger State and contributes to the
emergence of the state as one of the top economies of Nigeria
by the Year 2020. With a mission Statement to provide the
State with adequate and reliable power supply by implementing
generation, transmission and distribution projects in the sector
7

according to the laws guiding this, and facilitating the

emergence of a private sector led competitive and efficient
electric power industry.

2.2 MECHANIZE ECONOMIC ACTIVITIES THROUGH

RENEWABLE ENERGY DEVELOPMENT
At present Industry and Manufacturing is at a low due to lack of
power, this can be greatly improved with the creation of
industrial parks powered by imbedded generated power.
Likewise, improvements in sectors such as Tourism, Residential,
Business, Health and Education to mention but a few will be
achieved.
How? It is to exploit the benefits of imbedded generation of
energy with emphasis on renewable sources.
2.3 Renewable Sources of Energy
There are various sources of renewable energy; they vary from
very expensive to as simple as a rechargeable system used to
light a small lamp. Imbedded power generation using
Renewable Energy is the answer; generally referred to as off
grid solutions
With ongoing electricity price increases, embedded generation
connecting small-scale energy producers with
the electricity distribution network is becoming an increasingly
8

attractive prospect. Both solar and wind energy have become a

lot cheaper over the past couple of years and are expected to
continue to fall in price, while energy could be used far closer to
home instead of being transported long-distance
over power lines.
There is a growing trend towards businesses investing in solar
systems which provide an embedded generation environment by
integrating solar energy with electricity from the national grid so
that they can reduce the overall electricity requirements of the
business. While biogas, biomass and wind can be used as forms
of embedded generation,
Mini wind turbines on residential properties are also a localized
solution, but the uptake could be lower largely because these
windmills tend to be noisy.
However, given the recent reduction in the cost of renewable
energy systems, it has become highly probable
that electricity consumers commercial, residential and, to some
extent, industrial will begin installing small-scale distributed
generation to meet some or all of their electricity requirements
A key benefit is that renewable energy is consumed very close to
where it is generated.
It is embedded where you have a generator and immediately
used,

There is an immense potential for viable embedded generation

on both a small and a large scale.
3.0 ENGAGE A TEAM TO STUDY CORPORATE ADOPTERS
OF IMBEDDED ENERGY AROUND THE WORLD
Inaugurate a team to understudy viable imbedded energy
generation projects around the world such as Vodacom of South
Africa that have started to make the move towards embedded
generation. It has installed 2127 solar panels on the roof of
its Century City building, in Cape Town, and hopes to ultimately
provide up to 75% of all electricity required by
the building during peak production. The solar array will offset
25% of the buildings electrical energy use throughout the year.
This is a potential energy saving of about 895 MWh a year
equal to charging more than 70-million mobile phones annually,
In Brazil a city is generating over 600MW using solar panels
installed on the city stadium. Likewise the rural electrification
systems used in India and Indonasia.
4.0 HOST THE VERY FIRST NIGER STATE ENERGY SUMMIT
The Niger State Summit will assemble public and private
stakeholders to discuss a strategy for harnessing the states
energy resources to spur economic growth, enhance security
and competitiveness, and promote responsible development of
resources.

10

The Niger State Energy Summit will bring together the most
thoughtful and influential public and private sector decisionmakersincluding Federal Ministry of Power, leading CEOs,
public sector officials, and experts from around the world, as
well as key global investors and companies involved in the
energy sectorto discuss how the state can achieve its energy
potential.
I personally will be attending a VIP conference on electricity and
power that hosts 6000 attendees, 500 delegates, 80
internationally renowned speakers, 26 African countries as well
as collection of experiences that span over 18 years in the
power sector, this will enable me to articulate a more focused
based beneficial analysis for Niger State.
The VIP Conference is one of our opportunities to learn about
the latest energy projects in Africa. If you want to do business
in the African energy sector, you can't afford to miss these
sessions that have the likes of: The head of Power
Africa, President Obama's African energy investment
program chief has confirmed his speaking slot. He will be
talking about Power Africa's future investment plans.
Keynotes are global energy experts recognized by the World
Economic Forum, Stanford, Harvard, MIT, Fortune
Magazine, Forbes and many other world renowned
institutions.
We expect to hear from the likes of:

11

Dr Robert Stoner, Deputy Director: Science &

Technology, MIT Energy Institute

Priyanka Bakaya, CEO, PK Clean Energy

Dr. Matthew L. Scullin, Founder & Chief Executive

Officer, Alphabet Energy United States

You can also expect to hear from senior Eskom representatives

and the South African Ministry of Energy as they talk about
how they plan to manage the energy challenge gripping South
Africa.

5.0 DEPLOYMENT OF LOCALISED SOLUTIONS

A key cost factor to most of these types of solutions is that to
generate 1MegaWatt (MW) of power the equivalent investment
cost is $1Million, (including equipment). These costs can
however, be secured by readily available Foreign Direct
Investments.
Apart from Solar, there are other kinds of renewable energy
sources, such as energy generated from agricultural byeproducts/waste, Mini/Micro Hydroelectric stations, and Wind
mills.
Where solar energy may be an advantage, such as around
Gurara, Suleja and Abuja areas, places such as Kainji may
experience

low

sunlight

during

rainy

season.

With

the

advantages of the state having Wind, sun, agricultural waste

12

and water in abundance, power generated through these

sources is highly advisable.
The opportunities presented by Niger State energy resources
are tremendous. Maximizing energy efficiency and integration
has the potential to support job growth in key sectors, including
transportation,
petrochemicals.

power

generation,

Importantly,

manufacturing,

growth,

security,

and
and

sustainability across the state need not require insurmountable

trade-offs.
Whichever solution that the state requires, it should have the
following benefits in mind, Energy supply security, Costcompetitive, environmentally friendly renewable energy and
Comprehensive electro-technical solution.
5.1 Estimated Generation for 25 Local Government
Note

that

25MW

can

provide

electricity

energy

for

approximately 30,000 standard residential houses. With an

estimate of 25MW per Local Government, and with special
consideration of 50MW each for Minna, Bida and Suleja, and
Kontagora for residential purposes; and 50MW for each Local
Government for industrialization, an estimate of a minimum of
1,975MW of imbedded generation of power for the 25 Local
Governments of Niger State, proposed. This take up will be in
phases and grow to the desired capacity or more as resources
avail itself ad as industrial take up gathers momentum.
Note that we had earlier costed 1MW at $1million; as such
1975MW will be an approximate investment of $1,975,000,000
13

(One Billion, Nine Hundred and Seventy Five Million USD of

FDI/PPP required)
5.2 DEPLOY MINI HYDRO
In riverine areas of the state, each unit can generate 6MW and
above. In the case of high flow of water, further investment can
be made for ocean/river power systems. Lets note the sizes,
Medium-hydro

15 - 100 MW -

Small-hydro

1 - 15 MW -

Mini-hydro

Above 100 kW, but below 1 MW; either

standalone schemes

Micro-hydro

From 5kW up to 100 kW; usually provided

power for a small community or rural industry
in remote areas away from the grid.

Pico-hydro

From a few hundred watts up to 5kW

Over the last few decades, there has been a growing realisation
in developing countries that micro-hydro schemes have an
important role to play in the economic development of remote
rural areas, especially mountainous ones. Micro-hydro schemes
can provide power for industrial, agricultural and domestic uses
through direct mechanical power or by the coupling of the
turbine to a generator to produce electricity.
5.3 DEPLOY SOLAR
This system can be deployed in most place of the state,
however, riverine areas especially in Borgu (Kainji have low
14

sunlight levels during rainy season and may not produce

electricity as expected, areas such as Minna down to Suleja are
more recommended. Solar plants are the most readily available
systems, and their costs are reducing over time. Potentials for
generation are from 150MW and higher. There are substantial
systems that generate 1MW and higher too.
5.4 DEPLOY WIND
Onshore Wind Power systems generate from 2.3 to 6.0MW and
higher of power. Areas where this will be deployable is around
the hilly areas of the State where wind level is constant and
high. Mast/columns will be above 20-40meters in height to
achieve results. A bit costly initially but will achieve profitability
eventually.
5.5 DEPLOY WASTE TO ENERGY
Agriculture is the mainstay of the state and agricultural
biomass feedstock can be obtained in all the nooks and
crannies of Niger State but in different varieties. Combusting
biomass feedstock to create electricity does not contribute to
global warming and helps avoid the release of other harmful
emissions. Typical biomass fuels include a wide variety of
material. Some common fuels are forestry by-products,
agricultural wastes, municipal wastes, landfill gas, and syngas.
There are also many next generation biomass feedstocks in
different stages of commercialization. These new fuels have the
potential to dramatically scale plant sizes and the feedstock
supply chain, creating significant opportunities for additional
15

generation fleet expansion. Whichever fuel type or combustion

technology is used in the biomass plant, it will drive a steam
turbine and generate electricity energy while it will ensure high
plant performance.

6.0 PROVISION OF ELECTRICITY NETWORKS

The question is what happens after electricity is generated; the
answer is that it is transmitted to residences, industries and
businesses for use. The need for transformers, transmission
lines and sub stations as well as all necessary equipment to
enable the use of the electricity generated will be provided by
the state, communities or public and private organisations or
individuals.

7.0 CONSERVATION OF POWER

The problem is not in producing enough electricity, but
conserving the little that is produced. A campaign on electricity
conservation will be organised state wide to better inform
people both in the urban and rural dwellings on the importance
of conservation of electricity.
Switch off of unused appliances, lights, etc. Buy energyefficient compact fluorescent bulbs for most-used lights. They
provide an equivalent amount of bright, attractive light. Only
10% of the energy consumed by a normal light bulb generates
light. The rest just makes the bulb hot. If every household
16

replaced one of its standard light bulbs with an energy efficient

compact fluorescent bulb, we would save the same amount of
energy as a large nuclear power plant produces in one year. In
a typical home, one compact fluorescent bulb can save 260
pounds of CO2 per year.
Teach people of Niger state to conserve electricity and join in
the crusade to manage energy better.

8.0 PHASED DEVELOPMENT

First 100 days from May 29 July 31, 2015
1. Create Niger State Ministry of Power
2. Consolidate other power sector actors such as the Rural
Electrification Board, etc.
3. Positive hand shake with Federal Government power
sector value chain actors to ascertain collaborations.
Determine which FG projects have been or are being done
in Niger State, especially from the Rural Electrification
Agency REA. Same goes for the GENCOS, DISCOS and all
market operators.
4. Send team to attend

conferences

and

understudy

imbedded power generation projects around the world.

5. Organise the 1st Niger State Power Summit.
6. Selection process for partners; Feasibility Studies; PPP
Schedules; procurement processes.
7. Deploy first imbedded renewable energy plant Solar may
be a first as this takes a shorter time to deploy, roughly 60
to 90days.

17

August Dec 2015

1. Update database of rural electrification projects and their
various status in collaboration with REB and Fed REA.
2. Deploy and extend substations, transformers, HT lines, Lt
Lines, HT/LT lines to localities.
3. Engage PPP for other renewable energy types.
4. Sensitization exercises, formation and registration of Niger
State Electricity Users Cooperative Societies - NSEUCS in
all rural communities.
5. Ensure at least 20% renewable energy projects are
established.
6. Establish or improve capacity of Federal University of
Technology,

Minna,

IBB

University

Lapai

and

State

University of Education (former COE) to train Artisans and

Electric Engineers.
7. Feedback assessments
Jan Dec 2016
1. Establish a Solar electricity industry in Niger State to
develop PV panels and accessories
2. Ensure at least 50% renewable plants are established in
the state.
3. Begin research into other forms of imbedded energy
technologies that may develop.
8. Begin research into nascent mini nuclear power options
that are available. Work out possibilities of use. Deploy
and extend substations, transformers, HT lines, Lt Lines,
HT/LT lines to localities.
9. Engage PPP for other renewable energy types.

18

10.

Sensitization exercises, formation and registration of

Niger State Electricity Users Cooperative Societies NSEUCS in all rural communities.
11.
Feedback assessments
Jan Dec 2017
1. Engage PPP for other renewable energy types.
2. Sensitization exercises, formation and registration of Niger
State Electricity Users Cooperative Societies - NSEUCS in
all rural communities.
3. Feedback assessments
Jan - Dec 2018
1. Deployment of first mini nuclear power plant, using
nascent nuclear batteries technology.
2. Expand networks.
3. Feedback assessments
4. Review and plan activities for 2nd term
Jan May 29, 2019
1. Assess 4 year activity of the power sector and plan
expansions for other localities.

8.0 CONCLUSSION

19

Operation Power Up Niger State is a must for the administration

of His Excellency, Alhaji Abubakar Sani Bello.
The report is a skeleton that can be improved upon by a more
intrinsic study based on suggestions that I have made. It is not
nuclear

science

but

highly

achievable

with

the

right

administration and allocation of resources, as well as keen

management and proactive dedication.
The key is Foreign Direct Investment, which is readily available
through proactive Private Partnership or full Private Investment
uptakes.
Communities, businesses and sectors are known to come
together to fund projects that have direct bearing on their
economy; such will be encouraged to form electricity users
cooperative societies to own, operate and maintain electricity
networks. To this effect, a Niger State Electricity Users
Cooperative

Society

(NSEUCS)

will

be

formed

in

each

community that have benefitted from the networks to be

established. NSEUCS, as mentioned earlier, will enhance
community participation in sustainable rural electricity supply,
through Ownership, Operation and Maintenance (OOM) of
electricity

networks,

in

collaboration

with

Distribution

Companies; encourage members to offer services willingly for

the

collective

benefit

of

their

communities

and

ensure

communitys commitment on the protection of their networks;

to

curb

frequent

vandalism

equipment/installations.
20

and

theft

of

electrical

At

present

the

state

is

given

hours

of

electricity

intermittently, HE Abubakar Sani Bellos administration will wish

to see this as a thing of the past with residents enjoying many
more hours of electricity supply only interrupted due to
maintenance or expansion of the networks. DISCOS will be
strictly monitored for compliance where the power generated is
transmitted by them; else the State Ministry will monitor direct
generation by the different imbedded generators of power.
As stated earlier, an approximate of $1,975,000,000 (One
Billion, Nine Hundred and Seventy Five Million USD of FDI/PPP
required) for the generation of electricity only. Much of the FDIs
available provide loans of up to 20 years for the establishment
of such facilities, at single digit interest rates, with moratorium
of up to 5 years before pay back starts, giving enough time for
sustainable and profitable investments to be made. Guarantees
for private sector participation are usually a Bank Guarantee or
Insurance bond.
Further necessary cost implications for supply of substations,
power lines and related equipment will be done later, though
the cost is quite affordable, depending on distances and
complexity of users.
The establishment of a Ministry of Power will be positive
development to birth these desired achievements.

Ahmed Yahaya Alhassan

Rural Electrification Agency, Abuja
21

(A Federal Ministry of Power Agency)

GLOSSARY OF TERMS

PV
KW
MW
REB
REA

Photovoltaic panel
Kilowatt (1000Watts)
Megawatt (1000KW or 1,000,000Watts)
Rural Electricity Board
Rural Electrification Agency

22