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The Africa Centre for Energy Policy (ACEP) has unveiled gaps within the recently read budget by the Finance Minister on steps to resolve the country’s ailing power situation.
In a 9-page document commenting on the 2017 budget narrowed to the energy sector, ACEP noted that although the proposed interventions by the new government deviates from the ones in place, they are still weak.
Gaps in 2017 budget
1. Fuel supply
ACEP revealed that they were ‘sad’ not much was said in the budget on the security of the supply of fuel for power generation since that is a major hurdle for the sector.
They requested that government consolidate all plans for gas imports and ensure that all thermal plants run on gas.
2. Nigeria Gas
ACEP suggested that government bring to closure what the future scenario of gas supply from Nigeria will be, especially as the historically unreliable gas supply makes planning difficult given that we have a take or pay agreement with Nigeria Gas.
3. Liquefied Natural Gas (LNG)
Under LNGs, ACEP highlighted the need for government to bring in at least one LNG for gas supply stability, given our experience with gas from Jubilee and Nigeria.
Below is the full document:
