₦airaland Forum

fineboynl:
The electricity is bad and terrible since November. As a band A customer we are not getting the agreed minimum power of electricity each day.

Yet they are still charging for band A.

Our economy still very cyclical with our natural season. Demand energy wise picks up with dry season economically so energy needs increases. The power deficit quickly shows now as hot season will also increase household demand for Cooling in door and food. Even daily petrol demand peaks in dry season. We really need to encourage cost reflective rates, eco-friendly usage and also upgrade distribution which very expensive. Short term consider other cost effective options

okpouman:
It's not government that will build all the houses that people will need,private individuals can still build houses and rent,what needs to be done is for government to build houses that will accommodate more low income earners,this can be done and it doesn't have to be at once it can be done gradually, same thing electricity, they can focus on big cities and town first,not that the whole country must have constant electricity at once.

Even then, there are a majority of low income earners, so my argument still stands.

Either revenue improves to a point where we are putting out budgets of 600 trillion naira annually or forget it.


Nothing is free in Freetown

MadamExcellency:
Your understanding of Nigeria is warp and your opinions are counterproductive because you lie for a living. You aren't knowledgeable in this sector and you gave been lied to for so long by the cabal.

Thanks , but facts don't respect or follow your opinion.

Also the overbilling happens because of underpaying by most consumers, and most paying a non cost reflective tarrifs..proving my point anyway

When you bring in price controls, abuses result.

MadamExcellency:
Your understanding of Nigeria is warp and your opinions are counterproductive because you lie for a living. You aren't knowledgeable in this sector and you have been lied to for so long by the cabal holding Nigeria down.

Well, when most of the consumers are not paying for power at market price and even people are bypassing meters and stealing power and the company needs to break even , you know what happens next

Overbilling consumers eg via the estimated billing things.

The harsh truth is that the majority not paying full prices are making the minority suffer and companies doing evil things to survive.

Remove price controls and let everyone pay at market prices and we will have some improvement eventually.

Good evening and good luck

I am also asking you read some online material on the matter

nairalanda1:
Thanks, but facts don't respect or follow your opinion. Also, the overbilling happens because of underpayment by most consumers, and most are paying non-cost-reflective tariffs, proving my point anyway. When you bring in price controls, abuses result.

The shareholders and the management of electricity generation and distribution are lying to you. They are swimming in money. The dams contribute half of the electricity generation; hence, there is poor output when the rains subside, and these are government-owned, and the cost of running them is low. Your opinion is akin to saying that betting companies aren't making a profit because you saw a N100 winning ticket for a N5,000,000 payout.

The cost of electricity is highly overcharged in Nigeria but they want you to compare it Europe and the Americans when the Government and public own the infrastructures here in Nigeria and these cabals are only required to maintain them when accidents happen or replace few aging equipment and they are failing in that responsibility and you're giving excuses for their failures.

Well, the poster above still thinks that electricity should be free.

That's lack of reality check.

Cost reflective tarrifs.

Facts don't respect feelings

nairalanda:
Thanks, but facts don't respect or follow your opinion. Also, the overbilling happens because of underpayment by most consumers, and most are paying non-cost-reflective tariffs, proving my point anyway. When you bring in price controls, abuses result.

The shareholders and the management of these electricity generation and distribution companies are lying to you. The dams contribute half of the electricity generation; hence, there is poor output when the rains subside, and these are public and government-owned, and the cost of running them is low. Your opinion is akin to saying that betting companies aren't making a profit because you saw a N100 winning ticket for a N5,000,000 payout.

The electricity companies will want you to compare prices in Nigeria and overseas, but they didn't invest much in or build the infrastructure. What a deception.

Nairalanda blocked me for exposing his ignorance and lying through his comments.

Well the poster above thinks power is oversubscribed

Well, cost of producing a kWh of power is at least 170 naira , and most people pay below that

Also sixty percent of metered users bypass their meters.

Hence low revenue, hence abuses by the companies

All imposed by government price controls.

Facts again don't respect your feelings.

( She gets hurt easily too)

Someone is obsessed really.

Power does cost money.

I know that makes people angry...so I'll keep saying it

It is kind of funny that people expect peak performance and lack of corruption and inefficiency from a company where less than 20% of consumers pay the market price and most of the rest don't or even pay zero money

But then again, many people who get angry with me believe in miracles.

Well,.so be it

Facts don't respect one's feelings.

GodPunishOsu:
Abeokuta,Mologede.Ever since I got to Abeokuta.

Mhen una dey enjoy my bro

nairalanda1:
Even then, there are a majority of low income earners, so my argument still stands.

Either revenue improves to a point where we are putting out budgets of 600 trillion naira annually or forget it.


Nothing is free in Freetown

Nothing is free in Freetown but a government official can afford to send 5 children to secondary school in Switzerland.

Dey there

nairalanda1:
If that's why you voted for him, you obviously believed in a lie then.

I don't deal in lies, I deal in facts. My eyes were opened in 2013.



As the saying goes, no free meal in Freetown, Sierra Leone

If education, power, housing are 'free', someone is paying for it by 1) taxes, as seen in Denmark where education is free, and tax chops half your income, also UK where health is free at point of entry, but income tax is also very exorbitante

2.By loans...as seen in the DDR which offered free housing at a cheap price, until the debt they used to pay for it , among other things, overwhelmed their economy badly

3.BY insurance...most healthcare systems are paid for by that...meaning someone is paying money from the salary in form of insurance premiums

4.BY selling oyel...which is not sustainable, unless the country is less than 20 million people, and oil production is above 2 million bpd.

I ask again chief, wot do the government use the natural resources like crude, Cocoa, coal,gold and more for?

Okonsbecky:
I ask again chief, wot do the government use the natural resources like crude, Cocoa, coal,gold and more for?

Lol. Revenue from that is not enough for power or for anything

Pay your light bill

okpouman:
Nothing is free in Freetown but a government official can afford to send 5 children to secondary school in Switzerland.

Dey there

Pay your bills, sonny. And stop voting for such corrupt people. You chose that man, not me

MadamExcellency:
Your understanding of Nigeria is warp and your opinions are counterproductive because you lie for a living. You aren't knowledgeable in this sector and you have been lied to for so long by the cabal holding Nigeria down.

You know that the guy lies for a living and continue to argue with him. He is from west and APC. They lie without conscience.
Imagine all the evidence you posted he ignored all and is saying facts don't lie. So it is only his facts that are true.

Imagine an educated person telling you, you need to pay for equipment to receive improved service. So what did the investors bring in, just buy NEPA and be enjoying free money.

In the real world any company that is failing and is sold of, buyers/investors pump in capital after purchase to upgrade improve things. They just don't take over the company an continue with the obsolete equipment to continue rendering poor services.

The guy is paid to be on nairaland and once any complain about Power supply crops up. He appears and start talking about cost reflective tariffs .

I knew this privatization wont work, because unlike TELCOS, you can't switch providers easily. If Abuja disco is not effective can you change to IKEJA disco?

It is called privatization, but you don't have an option to switch.

The same mentality shutdown NITEL, sending outrageous bill to people (billing some people as high as N300,000 monthly), with poor services. Even with the high call rates of the GSM companies at start, it was far cheaper that NITEL, that is why many people switched

GLO a Nigerian run Telecom company also has the same mindset, poor services.

It is a Nigerian Thing.

nairalanda1:
Well, the poster above still thinks that electricity should be free.

That's lack of reality check.

Cost reflective tarrifs.

Facts don't respect feelings

Have u thought of it from an engineering perspective that old cables could actually be causing a lot of energy losses in transmission- which means huge loss of revenue

being:
Have u thought of it from an engineering perspective that old cables could actually be causing a lot of energy losses in transmission- which means huge loss of revenue

Yes, so how do you replace the same cables?

Back to the idea of cost reflective tarrifs for everyone, and people actually paying for the power they use, instead of stealing it.

Placing some people or areas on Band A is a calculated effort by the system to rip -off the perceived rich, and also deny the poor an accessibility to a functional and stable supply of electricity
Truthfully, I'm yet to come to terms with a logical reason for categorising the usages of electricity.

fineboynl:
how does that affect the band A?

Band A people are not part of the subsidy anymore.

Bands become immaterial when the entire system is affected. There's a general disruption in gas supply and everyone is feeling it.

MadamExcellency:
The shareholders and the management of these electricity generation and distribution companies are lying to you.

I wish they were, but the fact is, they aren't.

A good understanding of the power sector and why it is a mess can be found in this 2019 white paper

The dams contribute half of the electricity generation; hence, there is poor output when the rains subside, and these are public and government-owned, and the cost of running them is low. Your opinion is akin to saying that betting companies aren't making a profit because you saw a N100 winning ticket for a N5,000,000 payout.

Madam, allow me to introduce you to some facts now..we need 30000mw to supply everyone with power in this country


We also need 200,000 Mw to give everyone , both on the grid and off it now, adequate power supply

Also, based on international standards of 1,000MW to one million people, the country is expected to at least generate 200,000MW to give the population better access to electricity

And from the same above source, it would cost 100 billion dollars over 5 years (our budget in total this year is 37 billion dollars)

The electricity companies will want you to compare prices in Nigeria and overseas, but they didn't invest much in or build the infrastructure. What a deception.

Madam, there is no where I did that in my discussion with you. This is a strawman.

Nairalanda blocked me for exposing his ignorance and lying through his comments.

I blocked you because you were repeatedly using intemperate language , and it wasn;t worth discussing with you anymore, and you were also losing your temper for nothing. And calling me a paid stooge. That's not a discussion, that's mudslinging.

agitator:
You know that the guy lies for a living and continue to argue with him. He is from west and APC. They lie without conscience.

The above comment does show that you really don't know me.

Imagine all the evidence you posted he ignored all and is saying facts don't lie. So it is only his facts that are true.

The evidence she posted was that enugu disco overcharged 60000 consumers. It may seem like it is in her favor, but

1. Most discos are running at a loss, and not breaking even because of low revenue from tarrifs (PwC calls it the liquidity crunch).
2. As a result, they resort to ripping off consumers who do pay regularly..hence the report

When 60% of consumers naitonwide on meters bypass them , and only 20% are paying cost reflective tarrifs as band A consumers...the revenue won't be enough, result....ripoff economics...as seen in overcharging of consumers, eg via estimated billing

Imagine an educated person telling you, you need to pay for equipment to receive improved service. So what did the investors bring in, just buy NEPA and be enjoying free money.

This is a misrepresentation of what I said.

Again, because discos and gencos are not making a profit due to most consumers not paying for power, or underpaying for power(due to government price controls maintained by the APC government), that means that they cannot make the kind of profit that would enable them to pay for equipment

By contrast, GSM companies are able to pay for their equipment because there are no price controls, and as such they can make a profit to install equipment...which is why we don't contribute money to buy GSM antenna or diesel for their generators.

In the real world any company that is failing and is sold of, buyers/investors pump in capital after purchase to upgrade improve things. They just don't take over the company an continue with the obsolete equipment to continue rendering poor services.

That is true, but they also have to pay for continued upkeep and maintenance and even replace old equipment..

That is where everyone paying the cost reflective tarrifs comes in. But until Tinubu brought in band A things(and even at that, less than 20% of consumers are band A ), everyone was paying subsidsied prices (in 2019, Prof Moghalu even stated that DISCOS lost N30 per kwh of unit sold thanks to government subsides;,,it's now as high as 100 naira as at 2024) which meant that no profit to improve things. (As early as 2016, the sector was screaming at government to remove price controls)

Also contributing to the losses, were the fact that gas companies charged gencos for gas in dollars, which made it even more difficult profit wise for gencos. Dollar fluctuations vs naira and all that.

The guy is paid to be on nairaland and once any complain about Power supply crops up.

Again, this shows you don;t know anything about me, and you tell fibs when it suits you.

He appears and start talking about cost reflective tariffs

Because that's the way forward. GSM works because we pay cost reflective tarrifs. .

I knew this privatization wont work, because unlike TELCOS, you can't switch providers easily. If Abuja disco is not effective can you change to IKEJA disco?

It is called privatization, but you don't have an option to switch.

I once mentioned this online elsewhere, and someone responded by telling me that it would require an upgrade of the grid that would be very costly.

Otherwise, it is a good idea.

But unfortunately, government when they brought in the disco idea made the same mistake with CDMA telephony...regions instead of nationwide franchises...but as I have said, it is also a matter of tech.

The same mentality shutdown NITEL, sending outrageous bill to people (billing some people as high as N300,000 monthly), with poor services.

Nitel also had the same issues with underpayment, and low customer base. Nigeria is a poor country, that most people could not afford the low prices nitel was charging even.

Also, it was a monopoly.

GSM had multiple companies which meant you could change over, because the investors did not have their prices controlled by government, making investment in nigeria attractive.

Even with the high call rates of the GSM companies at start, it was far cheaper that NITEL, that is why many people switched

GSM was expensive till 2005 though.

GLO a Nigerian run Telecom company also has the same mindset, poor services.

Yet millions still use them.


Good evening, and God bless and prosper you richly

P.S...A good read is the paper 'Solving the Liquidity crunch in the power sector' by PwC.

Also, my ideas on power supply came around in 2013, when I was trying to understand why the then government wanted to sell off the power companies. Have been reading and adding to my knowledge ever since.

Repeatedly calling someone a liar and an apc member and a paid supporter is not the best way to argue, it is just engaging in polemics