TCN To Spend Additional N1.4trillion in Four Years To Boost Power

The Transmission Company of Nigeria, TCN, unveiled plans to spend additional N1.36trillion within the next four years as capital funding to upgrade Nigeria’s electricity transmission network.

The Nigerian Electricity Regulatory Commission, NERC, which disclosed this, said it approved N1.36trillion as capital expenditure for the years 2016 to 2020, and N287 billion for its operational expenses for TCN within the same period.

It said the approval was part of the company’s projection in the Multi Year Tariff Order (MYTO) 2015, adding that explained that this will aide in its upgrade plan for the network from 5,500 megawatts (MW) in 2016 to over 11,000MW in 2020 and on a continuous basis.

The acting chairman of NERC, Dr. Anthony Akah disclosed this in the presentation he made to sector operators at the recent meeting of the National Council on Power (NACOP) in Kaduna.

According to him, the TCN was facing a severe funding challenge and needed a cost reflective tariff in the MYTO to enable it execute transmission projects it has planned to upgrade the network.

Akah said NERC recognised the imperative for huge investment in Nigeria’s transmission network, hence, its approval of the capital expenditure for TCN in the MYTO.

NERC however insisted that TCN must revise its capital expenditure programmes in order of priority to the country’s power sector, adding that it needs to consult with its various customers on expected service improvements it wants to attain.