Kenya Power Electricity Losses Rise Above Allowed Limit
Kenya Power continues to make electricity losses above the limit set by the Energy and Petroleum Regulatory Authority (EPRA).
The increasing system losses arising from illegal connections and inefficient transmission systems are expected to eat into the utility’s revenues.
Kenya Power made system losses of 25% in December last year; in the last 6 months of 2023, these losses averaged at 23.2%, despite the company’s goal to cut the losses to at least 20.93%.
EPRA allows Kenya Power to pass on to consumers 18.5% of these losses; this translates to billions of shillings every year.
“‘In terms of what is specific to transmission, the losses are somewhere between 4.5 to 5%. Then now the balance is distribution and commercial,” said Kenya Power CEO Dr. Eng. Joseph Siror.
System losses emanate from technical and commercial losses. Technical losses are those occasioned by an inefficient or dilapidated distribution infrastructure.
Commercial losses arise from power theft. Kenya Power says it is taking steps to reduce the losses.
“Efficiency of the system is one of the key areas that has been quite a challenge for the business. We’ve actually studied this and seen that quite a bit of this is actually due to the technical dynamics of the system,” said Stephen Vikiru, General Manger of Finance, Kenya Power,
“But we are working to see how we can specifically isolate areas that are high loss generating, and see the interventions that can be put into that to reduce the system losses.”
These losses are occurring at a time when EPRA has increased retail tariffs by about 20% to bolster Kenya Power’s revenue, to facilitate the overhaul of its aging infrastructure.
Source: Citizen
U.S. Power Plant Proposals Surge By 90% As Electricity Demand Rises
Proposals for new power generation capacity in the United States have increased by an impressive 90% over the last three years, as reported, in anticipation of a surge in demand for electricity.
Notably, some 80% of the proposed capacity is solar plus batteries, with only 3% of proposed power plants running on natural gas or coal. The total proposed capacity stands at close to 2,600 GW, according to the data, which comes from the Lawrence Berkeley National Laboratory.
This does not mean, of course, that all of this proposed capacity will end up getting built. In fact, historical data suggests that only a fifth of all proposed projects do get completed. At the same time, demand for electricity in the country is set for a significant increase, driven by data center proliferation and the incorporation of artificial intelligence and more and more software applications.
Reuters reported earlier this week that U.S. power utilities were revising their demand estimates radically from only a few months ago. The report said that nine out of the top power suppliers in the country had raised their capital expenditure plans and demand projections.
“The truth of the matter is these things (data centers) are pigs when it comes to energy use, and now they’re the size of an elephant,” Eric Woodell, founder of software service provider Amerruss, told Reuters.
Woodell then said in a LinkedIn post on the Reuters report that “The gap between power production and demand will continue to grow, leading to shortages (brownouts or blackouts) happening more frequently. These events will test your data center infrastructure, whether you like it or not, whether you own or lease.”
The planned electrification of the transport sector will also help—if it materializes, that is. The EV push has slowed down recently and whether it would pick up again or not is an open question for the time being. Yet the surge in electricity demand from the IT sector may well be enough to prompt more capacity additions than normal.
Source: Oilprice.com
Ghana: Koforidua Court Sentences Electrician For Stealing ECG Cables
A circuit court in Koforidua in the Eastern Region of Ghana has sentenced a 27-year-old electrician, Masaudu Fuseini, to one month in prison for stealing cables belonging to the Electricity Company of Ghana (ECG).
Fuseini, who was arrested on 25th March 2024, was put before court and remanded in prison custody to reappear in court for judgment next Monday, after pleading guilty to the charges.
The court, presided over by Miss Asare Anima, found the suspect guilty and sentenced him accordingly.
The court also convicted him to a fine of 1,000 penalty units amounting to GH¢12,000 or in default serve two (2) years in prison.
Besides, he was ordered by the court to replace the cables which were valued by the police at a cost of GH¢9,000.
The court was informed by the ECG representative that the convict had replaced the cables.
The Prosecutor, Inspector Elorm Arku Klaye, told the court that Fuseini was arrested at Klo-Agogo, a community in the Asesewa District of the Eastern Region, an operational area of ECG, on Monday, 25th March 2024.
Fuseini, a resident of Nkurakan in the Asesewa District, was seen cutting some cables belonging to the ECG in some parts of the town. In the process, he was nabbed by members of a watchdog committee set up by the assembly member for the area.
They informed the police about his activity and while carrying out a second operation, he was arrested.
He led the police to where he kept the stolen cables he cut from the poles and, after investigations, he was sent to court.
Source: https://energynewsafrica.com
Venezuela Arrests Ex-Oil Minister For Corruption
Venezuelan authorities have arrested the country’s former oil minister, Tareck El Aissami on allegations of corruption.
According to information released by the Venezuelan government and cited by the AP, El Aissami was arrested for a scheme that siphoned hundreds of millions of dollars in oil revenue from the state.
The charges brought against the former official include money laundering, treason, and criminal association.
El Aissami was oil minister until March last year when he announced his resignation amid a corruption scandal at state energy company PDVSA.
The scandal concerned the apparent disappearance of as much as $3 billion from oil sales.
It is as a result of the investigation following that scandal that El Aissami was arrested.
The AP cited Venezuela’s Attorney General Tarek William Saab as saying the arrest took a while because of “the various steps” of the investigation that uncovered a mechanism for selling oil through the country’s cryptocurrency control agency in addition to the official channel of PDVSA.
Right now, Venezuela’s government and the state oil company should be bracing up for the return of U.S. sanctions. These could snap back as soon as April 18, when the six-month sanction suspension expires.
The easing of sanctions authorized the production, lifting, sale, and exportation of oil or gas from Venezuela, and the provision of related goods and services, as well as payment of invoices for goods or services related to oil or gas sector operations in Venezuela.
That suspension was based on the commitment of the Venezuelan government to hold fair and free elections but Maduro blocked opposition candidate Maria Corina Machado from running in the elections, which Washington signaled was not what the two sides had agreed.
The suspension of sanctions allowed Chevron to return to Venezuela and helped the country boost its oil production.
A new market was also on the horizon as Europe sought to diversify its oil supplier base.
All this could end before it really began if sanctions return on April 18.
Source: Oilprice.com
South Africa: New Load Shedding Guidelines Do Not Signal Blackout Risk: NERSA
National Energy Regulator of South Africa (Nersa) says approving new guidelines for implementing load shedding did not mean the country was close to a blackout.
This comes after Nersa approved guidelines for implementing rolling blackouts up to stage 16.
The newly released guidelines will allow Eskom to implement drastic rolling blackouts beyond stage 8 or up to 20 hours of power cuts.
Earlier, Eskom said drastic rolling blackouts are not on the cards because the grid is gradually improving.
Vally Padayachee, one of the Nersa members says, “Load shedding is one of the most effective and efficient management tools globally to prevent us from going into a total blackout and a collapse of the grid, that’s in essence the intent of the new edition three. We don’t want to get into a blackout and South Africa has been fortunate to have never had a blackout for the last 100 years of the existence of Eskom. The second point is that when we get to higher stages of load shedding it does not mean that we are closer to a blackout.”
Meanwhile, Eskom says drastic rolling blackouts are not on the cards because the grid is gradually improving. It has sought to allay consumers’ fears that the country is slipping into stage 16 rolling blackouts.
Eskom spokesperson says, “We are now on Day 12 without any load shedding we’ve seen in December. We actually spent 19 days without load shedding. We’ve seen from January up until April that we had fewer stages of load shedding, if you may, and this shows you that our plan which is the generation recovery or operational recovery plan is indeed yielding the desired results. It is just to make sure that in case we have to move to a higher stage, our system operator is basically prepared for.”
Source: Sabcnews
Mexico Set To Slash Oil Exports By Over 300,000 Bpd In May
Mexico is planning to cut the amount of crude oil it exports by 330,000 barrels daily next month as it redirects supply to local refineries.
The volume to be cut represents a third of the total that Mexico sells abroad, Reuters noted in a report, which also said 330,000 bpd is the minimum that will get redirected from overseas market to local refineries.
This month, Pemex slashed oil exports by 436,000 barrels daily as Mexican refineries ramp up, including the new Dos Bocas facility, which will take in some 179,000 bpd this year.
The refinery’s nameplate capacity is 340,000 barrels daily.
The reduction in exports was necessary because Pemex’s output has been on a steady decline due to natural depletion and not enough new discoveries.
In February, the daily average fell to the lowest in 45 years, Reuters said in its report.
Currently, Pemex processes half of its daily crude oil output, which stands at an average of 1.8 million barrels, according to a recent update by Mexico’s President, Andres Manuel Lopez Obrador.
This means the export shrinkage could deepen further. Last year, Pemex exported an average daily of 1.03 million barrels, according to Reuters. This year, the average for the first two months of the year fell to 945,000 barrels daily.
The Mexican energy ministry expects oil processing rates to rise to 1.04 million barrels daily this year, which, based on 2023 export figures suggests Mexico might well have to stop exporting crude as a whole. But this depends on the Dos Bocas refinery ramping up in accordance with government plans, which is not guaranteed.
Right now, the Mexican state firm is also facing a sharp drop in production following a fire on an offshore platform that forced the shutdown of several wells. The amount lost is yet to be determined.
Source: Oilprice.com
Ghana: Ameri Power Plant To Be Back On Grid Next Week To Generate Power After Two Years Of Sitting Idle
Ghana’s power supply which, in recent times, has been erratic and sparked public criticisms of the government, is likely to improve in the coming days as the Volta River Authority (VRA) has finally completed the installation of the Ameri Power Plant at Anwomaso near Kumasi in the Ashanti Region.
The Plant is due for inauguration by President Akufo-Addo on Wednesday, 17th April 2024.
According to sources within the Volta River Authority (VRA), six units which are about 150MW out of the total capacity of 250MW have been installed and technically tested for inauguration by President Akufo-Addo.
The reconnection of the Ameri Power Plant to the national grid is to improve power supply and boost economic activities, especially in the Ashanti Region.
The Ameri Plant was previously located at Aboadze in the Western Region and utilising natural gas produced from Ghana’s Jubilee and Sankofa fields.
However, few years later, the Ministry of Energy, upon the advice of Ghana Grid Company decided to relocate the plant to Anwomaso to stabilise the grid since all the power plants were located in the southern part of Ghana.
The relocation of the Ameri Power Plant to the Ashanti Region is aimed to ensure stability to the national grid and ensure power reliability in the Ashanti Region.
Ameri Power Plant which is on a wheel was procured from the UAE-based Africa & Middle East Resources Investment Group in 2015 by the erstwhile government, when the West African nation was experiencing an erratic power supply due to a shortfall in electricity generation.
The plant cost US$510 million and it was to be managed by its owners for five years and later transferred to the Government of Ghana under the Build Own Operate and Transfer (BOOT) agreement.
The Ameri deal was one of the numbers of power deals which generated public anger, with the then opposition, the New Patriotic Party, now in government, accusing the then administration of ripping the nation.
After negotiations between the current government and the Ameri Group, the latter waived over US$2 million of the cost of the plant.
In 2022, the plant was handed over to Ghana and VRA was assigned to manage the plant.
Source: https://energynewsafrica.com
Shell Considers Leaving London Stock Exchange
Shell’s chief executive has floated the possibility of the petrogiant abandoning its “undervalued” London listing.
Wael Sawan, who runs the largest company on the FTSE 100, said the embattled London exchange was an “undervalued location” as he joined a raft of global CEOs in complaining about the capital’s equity markets.
Shell, he said, was a “fantastic” investment opportunity due to its undervaluation in the interview with Bloomberg.
“I will keep buying back those shares, and buying back those shares at a discount,” he added.
Sawan is set to embark on a so-called ‘sprint’ to improve the firm’s competitiveness and profit-making.
The firm is undervalued compared to peers listed on Wall Street.
“If we work through the sprint, and we are doing what we are doing, and we still don’t see that the gap is closing, we have to look at all options.”
An exit by Shell would be a bruising and almost terminal blow for the London Stock Exchange after a torrid year in which new IPOs have dried up and a string of firms have scrapped their listings for New York.
Just 23 companies listed in London last year, raising around £1bn, the lowest level since just after the financial crisis, according to data from EY.
The move by the British chipmaker Arm to float in New York despite a major charm offensive by ministers and regulators was also seen as a major snub for the City.
The Treasury and regulators have been on the offensive to try and boost the appeal of the London Stock Exchange by overhauling listing rules and directing more capital into the market from retail investors and pension fund.
Source: CityAM
Ghana: GRIDCo Laments Over How ECG’s Non-Compliance To Load Management Instruction Threatened Grid….But ECG Denies Claim
Ghana’s power transmission company and system operator, Ghana Grid Company Limited (GRIDCo), has detailed how the power distribution company responsible for power supply in the southern Ghana, ECG, disregarded its instruction which posed significant risk to the power stability across the country.
According to GRIDCo, the non-compliance to its instruction by ECG compelled it to take feeders out of service to prevent system collapse.
In a letter to Dr Matthew Opoku Prempeh, Energy Minister of the Republic of Ghana, and signed by the CEO of GRIDCo, Ing Ebenezer Kofi Essienyi cited instances where ECG engineers refused to comply with GRIDCo’s load management instructions.
The letter stated that on March 20, 2024, Peak Hours the National System Control Center (SCC) had to take Tafo Feeders out of service due to ECG’s failure to properly implement load management instructions.
GRIDCo said this resulted in a system frequency drop to a critical level of 49.47Hz.
GRIDCo said similar thing happened on March 21, 2024, during Peak Hours when ECG refused to comply with its instructions. This forced the National System Control Centre (SCC) to disconnect feeders in Tema, Winneba, Kasoa and Kumasi.
“This action was taken to prevent system collapse after the frequency dropped to a concerning 49.29Hz,” GRIDCo said..
“When these emergency disconnections occur, ECG publishes customer notices attributing the loss of power supply to GRIDCo, which is not an accurate description of the current situation. Furthermore, ECG’s disregard for load management instructions is a clear violation of the regulations.”
As a result, GRIDCo urged the Minister to intervene to ensure ECG complied with the issuance of a load-shedding timetable.
“We, therefore, bring this to your kind attention, Honourable Minister, and seek your urgent intervention to ensure cooperation from ECG with respect to load management operations,” GRIDCo said.
However, ECG has responded to GRIDCo’s concerns and expressed shock that GRIDCo portrayed it as uncooperative.
ECG in a letter signed by its Managing Director Samuel Dubik Mansubir Mahama and forwarded to the Energy Minister sighted by Myjoyonline, ECG provided detailed statistics on load management requests received from GRIDCo between January and March 2024, demonstrating instances where requests were received shortly before peak or off-peak periods, limiting ECG’s ability to plan and inform customers adequately.
“It is a fact that GRIDCO routinely directs ECG’s System Operators to drop load at some of our Bulk Supply Points (BSPs), but the issue has been the inadequacy between the time these requests are received and the time these requests must be effected to sustain the integrity of the power system and also for ECG to inform its customers.
“It worthy to note that, between January and March 2024, sixty-four (64No.) requests were received from GRIDCo for load management. Out of this, forty (40No.) were for peak periods (18:00 – 24:00 hrs) and twenty-four (24No.) for off-peak (06:00 – 18:00 hrs) load management.
“Out of the forty (40no.) peak load requests, thirty-five (35No.) (88%) of them were received within an hour to the peak period. There were only five (5No) (12%) instances where ECG received the request within 2-3 hours of the peak period.
“Out of the Twenty-Four (24No.) off-peak load requests, three (3No) (13%) of them were received within 30 minutes to the off-peak period while the remaining Twenty-One (21 No.) (87%) instances were received far into the off-peak period,” portion of the letter reads.
Source: https://energynewsafrica.com
Zambia: Zesco Continues Staggered Load-shedding In Parts Of Lusaka
Zambia’s power utility company, Zesco Limited, has entered week two of the staggered eight-hour daily load-shedding for some residential areas in Lusaka, the capital of Zambia.
The company began the staggered load shedding exercise in Lusaka effective April 1.
According to the power distribution company, the affected residential areas will experience two power outages of four hours each, spread throughout the day.
In a statement issued by Matongo Maumbi, spokesperson for Zesco Limited on Monday, April 8, it said the rest of the country, including industrial, commercial and farming areas, remain on the 8-hour straight load shedding since 11 March 2024.
The aim of the load-shedding is to minimise disruption and ensure grid stability due to low generation capacity.
The Southern African nation has an installed generation capacity of 3356.6MW.
This capacity comprises of 83 percent of hydro, nine percent of coal, five percent of heavy fuel oil and three percent solar PV.
The mining sector remains the largest consumer of power at 51 per cent of total generated electricity, followed by the domestic sector at 33 per cent.
Source: https://energynewsafrica.com
Nigeria: Power Sector Workers Union Kicks Against Tariff Hike … Threatens Industrial Action
Power sector workers in the Federal Republic of Nigeria have raised objection to the recent increase in electricity tariff for Band A category consumers.
The tariff has seen a significant jump from N66 per kilowatt hour (kWh) to N225 kWh.
The power sector workers, under the aegis of the National Union of Electricity Employees (NUEE), want immediate reversal of the tariff, warning that failure to do so would potentially lead to the laying down of their tools.
In a press statement, the National President of NUEE, Adebiyi Adeyeye, condemned the decision by the Nigerian Electricity Regulatory Commission (NERC) to raise tariffs for customers enjoying extended power supply (Band A classification).
Adeyeye argued that the increase would unfairly burden Nigerians who rely heavily on electricity, particularly low-income households.
He emphasised the widening inequality this price shift would create, stating, “This decision blatantly disregards the economic struggles of Nigerian workers, especially considering the uncertain minimum wage situation.”
He challenged the notion that electricity subsidies are inherently negative.
“Subsidies are not alien even in advanced economies,” Adeyeye said, citing Germany’s support for renewable energy and the low-income household assistance programmes by the US.
They vowed to protect their members who would otherwise be forced to implement the new tariffs on Nigerians.
Adeyeye urged the public to join their cause, stressing, “Together, we can compel the government to prioritise the well-being of its citizens over corporate interests.”
The union reiterated their commitment to safeguarding their members’ interests and ensuring equitable access to electricity for all Nigerians.
Source: https://energynewsafrica.com
Russian-Controlled Zaporizhzhia Nuclear Reactor Damaged After Drone Attack
The Zaporizhzhia Nuclear Power Plant (ZNPP) in Ukraine was damaged Sunday in a drone attack, the United Nations’ energy watchdog said, as both Russian and Ukrainian officials denied responsibility for the strike and accused the other of carrying it out.
The International Atomic Energy Agency (IAEA) reported the attack at the Russian-controlled facility, but said the damage “has not compromised nuclear safety.”
The drone attack included three direct hits against the facility’s main reactor containment, the agency’s director-general, Rafael Grossi, said on X.
“One person died as a result of the attack,” he added.
“This is a clear violation of the basic principles for protecting Europe’s largest (nuclear power plant). Such reckless attacks significantly increase the risk of a major nuclear accident and must cease immediately,” Grossi said.
Russian authorities accused the Ukrainian military of carrying out a series of attacks against the plant using “self-exploding” drones, according to a statement posted on ZNPP’s official Telegram channel.
But Ukrainian officials denied responsibility and accused Russia of endangering the nuclear facility and surrounding population.
“The incidents at ZNPP are also a form of Russian nuclear blackmail aimed at both Ukraine and the international community,” a Ukrainian government agency said Monday.
Kremlin spokesman Dmitry Peskov on Monday condemned Ukraine’s denial of involvement and said the drone attack is “a very dangerous practice that has very bad, negative consequences.”
A truck unloading food was damaged, and another hit was registered in the cargo port area of the facility, according to the ZNPP statement.
“Shelling of Zaporizhzhia NPP and its infrastructure is unacceptable. No nuclear power plant in the world is designed to withstand full-fledged fire from the armed forces.
Damage to infrastructure facilities may affect the safe operation of the NPP,” the statement added, using an acronym for the nuclear power plant.
Following Russia’s accusations, Ukraine denied any involvement in the attack, the spokesperson for the Defense Intelligence of Ukraine, Andriy Yusov, told Ukrainian news outlet Ukrainska Pravda.
“The aggressor state is once again endangering the nuclear facility, civilians and the environment of the whole of Europe,” Yusov said, according to Ukrayinska Pravda.
Source: CNN
Ghana: Transmission Lines Reliability Increased By 50% In Parts Of Western Region
The Electricity Company of Ghana (ECG) has collaborated with Genser Energy, a prominent Ghanaian energy company operating in the Western Region of Ghana, and taken steps to ensure power supply reliability in parts of the Western Region.
Poor electricity supply in parts of the region, especially at Wassa Old Subri, has become a major concern for the chief of the community, Nana Twumasi Ampaakwaw II, since the year 2022.
“Every day while leaving our farms, we feared that we would come back home to see no lights because a tree had fallen on the lines,” the chief said recently.
These trees have been progressively growing, posing a threat to the community’s power supply.
This power is not only vital for functioning healthcare facilities but is also essential for sustaining businesses and schools in the area.
In response to these pressing concerns, ECG has undertaken significant measures over the past three months to enhance transmission reliability.
Earlier this year, ECG partnered with Genser Energy, which is known for providing affordable and reliable power to various sectors, including mining giants like Gold Fields and Golden Star.
An assessment conducted earlier this year identified numerous trees and plantations under the transmission lines within the allowable distance.
These vegetation clusters posed a significant risk by disrupting power supply to 58 communities reliant on electricity transmitted through these lines.
To ensure community participation and support, Genser Energy engaged over 200 stakeholders, including traditional leaders, local assembly members, and project affected persons (PAPs).
The maintenance work did not only create local employment opportunities but also it provided compensation to farmers whose trees needed removal.
Genser Energy community relations team worked closely with local leaders and residents to ensure that the project not only enhanced power reliability but also contributed to the welfare of the community.
Justice Kofi Yeboah, a PAP from Accra Town, expressed his gratitude towards ECG and thanked Genser Energy for providing employment opportunities and improving community safety.
He also expressed his satisfaction with the project, indicating that the clearing works would help the entire community and his family.
“The clearing helps us all; if my son comes to my cocoa farm, I’m now rest assured that the lines will not interfere with the cocoa trees and harm his life,” he stated.
Under the supervision of the Genser Energy Construction Superintendent, Stephen Ayisi, teams selectively trimmed tree branches and removed high-risk trees that posed a threat to the transmission lines. Local recruits from the affected communities were actively involved in these operations.
Since the clearing, the communities have enjoyed an improvement in power supply to the communities. There has been a 50% reduction in power surges that caused power cuts in these communities between January and March this year, due to the cleared vegetation along these lines.
Samuel Acheampong, Mmratehene of Koduakrom stated, during a public engagement with Koduakrom PAPs, that “the only work we do here is farming and petty trading. If this project has employed our youth to gain skills beyond what we do, then I am happy Genser has made that possible.”
The removal of high-risk trees will not only enhance the reliability of electricity supply to essential facilities but also contribute to the overall stability of Ghana’s national grid. Beyond local gains, protecting the lines enhances overall stability of Ghana’s national grid.
Source: https://energynewsafrica.com
Saudi Aramco Suspends Two Oil Contractors
Aramco has served notices of temporary suspension to two oilfield service contractors, Zawya has reported, citing the companies.
According to one of them, Borr Drilling Limited, the suspension will begin this month and last for a year, the report said. Borr Drilling operates the Arabia I rig in Saudi Arabia and said it would look to move the rig elsewhere for the duration of the suspension.
The other company, Valaris, has also received a suspension for one rig, out of a fleet of 19 that its Saudi subsidiary operates in the kingdom. The contract for the rig was ending at the end of this year, the report noted.
Aramco earlier this year said it had scrapped plans to expand production capacity to 13 million barrels daily. The company said in January that the state had ordered it to stop work on the capacity expansion and keep the maximum sustainable capacity at 12 million bpd.
The expansion plan was announced back in 2021 and it was supposed to be completed by 2027. Since then, however, price movements have not always been in a favorable direction for Aramco and its owners.
In reaction to the price slump from 2023, the Saudis and their partners in OPEC+ affected additional production restrictions, which are already bearing fruit, especially in combination with Middle Eastern tensions that traditionally have a bullish effect on prices.
A month later, Italy’s Saipem said that it expected the decision to result in 20% lower orders from the Saudi giant.
Meanwhile, Aramco officials have on numerous occasions warned that the world’s oil production capacity is insufficient in light of expected demand trends, and more investment was needed to ensure a balance between demand and supply.
In February, Aramco’s chief financial officer said that Due to the natural decline in operating fields, as many as 6 million barrels per day of global oil production is being lost every year and needs to be replaced—which was not happening.
Source: Oilprice.com