By Adaobi Rhema Oguejiofor
The Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN) has said that challenges such as huge debt, operation barriers, poor new investments, poor credit rating and low commercial viability are some of the challenges that have the ability to frustrate electricity performance under the incoming administration.
The President of PENGASSAN, Festus Osifo, disclosed this at the Union’s 7th Triennial National Delegates Conference, which took place in Abuja recently.
He said that although electricity is considered to be a major determinant of economic development, attaining efficiency in that area has remained an endless struggle for Nigeria, especially against the backdrop of a flawed privatisation exercise.
Osifo, in his address, declared that the discouraging outlook of the power sector may not change in 2023 or any time soon, adding that the President Muhammadu Buhari administration has not been able to improve power supply to homes and industries during the past eight years.
In his own words, “looking at the average of 4,500 megawatts in the past eight years, Nigerians looking forward to improved electricity supply may continue to wait, as inherent challenges may stall power generation.”
According to him, the worsening exchange rate crisis in Nigeria would also drastically hinder the sector from improving because majority of the tools and equipment used in the sector are dollar denominated.
He added that, amid the increasing blackouts, the affected consumers are still made to pay for the inefficiency of the operators and the regulator.
