Blackout looms as gas shortfall hits power stations

Nigeria faces heavy threat of massive blackouts during the festive season, due to unpaid legacy debts and critical infrastructure vandalism that has crippled the national power generation.
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The Nigerian Independent System Operator (NISO) and major distribution companies (DisCos) confirmed on Wednesday, December 17, that grid capacity has dropped, forcing huge load shedding across the country.
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The current crisis is rooted in the failure of financial liquidity and physical security, despite the approval of ₦185 billion to settle outstanding gas-to-power debts by the Federal Government on December 4, gas suppliers have reportedly begun cutting feedstock to thermal plants due to a lack of actual disbursement.
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Compounding this financial strain, an
‎explosion occurred on the Escravos-Lagos Pipeline System (ELPS) in Delta State on December 10, reducing gas availability for power plants in the South-West. NISO confirmed on Tuesday that this act of vandalism has forced multiple thermal stations to operate at a lower output, thereby destabilizing the frequency of the national grid.
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Electricity generation has plummeted due to gas constraints, with some reports indicating the grid has dropped below 3,500MW, a level that triggers nationwide load shedding.
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The Enugu Electricity Distribution Company (EEDC) and Port Harcourt Electricity Distribution (PHED) have officially notified customers in the South-East and South-South that energy allocations have been slashed, impacting service to millions of households and businesses.
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NISO has activated emergency measures, including increasing dispatch from hydroelectric stations like Kainji and Shiroro to buffer the loss of thermal power in order to prevent a total system collapse.
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The Ministry of State for Petroleum Resources (Gas) stated that the approved ₦185bn debt settlement is targeted at restoring the confidence of investors. NISO emphasizes that they are working assiduously with stakeholders to reroute resources and maintain system stability through hydroelectric ramp-ups.
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Meanwhile, gas producers argue that approval is not payment, and they cannot continue to supply feedstock without the cash flow necessary for operations.
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Unless the ₦185bn payment is processed and pipeline repairs are fast-tracked, the whole country might be thrown into total darkness during the Christmas and New Year period.