MTN Nigeria, Nigeria’s largest telecoms company run by top business executive Karl Toriola, has secured permits from the Nigerian Electricity Regulatory Commission (NERC) to generate mini-grid electricity.
The permits, given in the first quarter of 2024, allow the telecommunications giant to build four captive power plants in Lagos State with a combined capacity of 15.94 megawatts. This is part of a larger plan to improve renewable energy and off-grid options in Nigeria.
In addition to MTN Nigeria, NERC has licensed numerous additional enterprises, including Golden Penny Power and Havenhill Synergy. Nine additional off-grid generation licenses were issued in the first quarter, totaling 109.69 megawatts. The commission also approved three new trading licenses.
Golden Penny Power has been permitted to construct six off-grid gas plants with a combined capacity of 100 megawatts in Lagos, Oyo, Ogun, and Cross River states. Sweetco Foods Limited, African Steel Mills Nigeria Limited, West African Ceramics Limited, Royal Engineered Stones Limited, and Armilo Plastics Limited have all been given additional permits to generate captive power.
NERC issues captive power generating permits to businesses that generate electricity for their own use rather than for selling. In the first quarter of 2024, NERC issued nine licenses with a total nameplate capacity of 52.57 megawatts.
The Electricity Act of 2023 authorizes NERC to offer mini-grid concessions to renewable energy corporations, requiring them to generate and distribute power in defined areas while fulfilling customer demands. The permits make it easier to build, operate, and maintain mini-grids ranging in size from 100 kilowatts to one megawatt.
MTN Nigeria, a subsidiary of the MTN Group, Africa’s premier mobile network provider, provides a full range of telecommunications services, including mobile network access, internet connectivity, bill payments, and device financing options.
Toriola led the company to a 32.8 percent rise in revenue, hitting $927.07 million for the six months ended June 30, 2024. This represents a huge increase above the N1.16 trillion ($697.79 million) reported during the same period previous year.
MTN Nigeria and IHS Nigeria have renewed and extended their tower Master Lease Agreements to December 2032.
