| Actually, biomass is the dominant energy source in Nigeria due to the fact that most of the country’s population use it for cooking. According to [[Www.se4all.org/|Sustainable Energy For All (SE4ALL)]], little progress has been made with regards to providing access to non-solid cooking fuels since 1990. As visible in the figure below, in 2010, only 26% of the population had access to non-solid cooking fuels with a big difference between urban and rural areas<ref>Sustainable Energy For All, 2013, Global Tracking Framework, p. 267</ref><span style="line-height: 1.5em; font-size: 0.85em">.</span><br/><span style="color:#FF0000">Figure missing</span><br/>As per the chart below, in terms of the distribution of the energy demand, in 2011, the total final consumption was 108,947 ktoe, of which the residential sector accounted for most of the energy consumed.<br/><span style="color: rgb(255, 0, 0); line-height: 1.5em; font-size: 0.85em">Figure missing</span> | | Actually, biomass is the dominant energy source in Nigeria due to the fact that most of the country’s population use it for cooking. According to [[Www.se4all.org/|Sustainable Energy For All (SE4ALL)]], little progress has been made with regards to providing access to non-solid cooking fuels since 1990. As visible in the figure below, in 2010, only 26% of the population had access to non-solid cooking fuels with a big difference between urban and rural areas<ref>Sustainable Energy For All, 2013, Global Tracking Framework, p. 267</ref><span style="line-height: 1.5em; font-size: 0.85em">.</span><br/><span style="color:#FF0000">Figure missing</span><br/>As per the chart below, in terms of the distribution of the energy demand, in 2011, the total final consumption was 108,947 ktoe, of which the residential sector accounted for most of the energy consumed.<br/><span style="color: rgb(255, 0, 0); line-height: 1.5em; font-size: 0.85em">Figure missing</span> |
− | With a marginal share of 2% in the total final energy consumption, electricity remains a secondary source of energy in Nigeria. Only about 9% of the household’s total energy consumption which, as previously shown, is driven by the use of biomass<ref>Nigerian Energy Support Programme, To be published, The Nigerian Energy Sector - an Overview with a Special Emphasis on Renewable Energy, Energy Efficiency and Rural Electrification quoting IEA, 2013: http://www.iea.org/statistics/topics/Electricity/</ref>.<br/>As of 2008, there were a total of 4,747,870 registered customers connected to the distribution grid<ref>Wale Shonibare, January 2014, Meeting and sustaining the funding needs for the power sector, UBA Capital Plc</ref>. Electricity consumption from residential and commercial sectors represented 80% of the total electricity demand. The rest was covered by the Industrial, Street Lighting and Special Tariff sectors. The share of large consumers, such as industry or large commercial areas, only represented 1% of the total electricity consumption<ref>Power Holding Company of Nigeria – Project Management Unit, January 2009, National Load Demand System – National Energy Development Project – Draft final report Volume 1 – National Demand Load Forecast, Tractebel Engineering Suez and Omega Systems, p. 110</ref>. <span style="font-size: 10pt; line-height: 107%; font-family: Arial, sans-serif;">As shown in the graph below, compared to the other West African countries, Nigeria’s electrification rates are relatively high, but have progressed at a relatively slower pace. In 2010, electrification rates were at 48% and had only increased by 5% since the early 1990s<ref>Sustainable Energy For All, 2013, Global Tracking Framework, p. 267</ref>.</span><br/><span style="font-size: 10pt; line-height: 107%; font-family: Arial, sans-serif;"></span><span style="color:#FF0000;">Figure missing</span><br/><span style="color:#FF0000;"></span><span style="font-size: 10pt; line-height: 107%; font-family: Arial, sans-serif;">As it can be seen in the figure below, the gap between rural and urban electrification rates is lower than in other West African countries, but remains significant (Rural: 35% and Urban: 62%)<ref>Sustainable Energy For All, 2013, Global Tracking Framework, p. 267</ref>.</span><br/><span style="color:#FF0000;"><span style="font-size: 10pt; line-height: 107%; font-family: Arial, sans-serif;">Figure missing</span></span><br/>Access rates also vary substantially amongst the states of Nigeria. For instance, according to the projections of the [[Www.jica.go.jp/english/|Japanese International Cooperation Agency (JICA)]], Taraba State had the lowest electrification rate in 2010 with 21% and Lagos the highest with 96%. Out of the 13 states that registered the lowest electrification rates, 10 were located in the North-West and North-East. The 8 states with the highest electrification rates were located in the South-West or South-South. The table below presents an overview of the state of electrification per state: <br/> | + | With a marginal share of 2% in the total final energy consumption, electricity remains a secondary source of energy in Nigeria. Only about 9% of the household’s total energy consumption which, as previously shown, is driven by the use of biomass<ref>Nigerian Energy Support Programme, To be published, The Nigerian Energy Sector - an Overview with a Special Emphasis on Renewable Energy, Energy Efficiency and Rural Electrification quoting IEA, 2013: http://www.iea.org/statistics/topics/Electricity/</ref>.<br/>As of 2008, there were a total of 4,747,870 registered customers connected to the distribution grid<ref>Wale Shonibare, January 2014, Meeting and sustaining the funding needs for the power sector, UBA Capital Plc</ref>. Electricity consumption from residential and commercial sectors represented 80% of the total electricity demand. The rest was covered by the Industrial, Street Lighting and Special Tariff sectors. The share of large consumers, such as industry or large commercial areas, only represented 1% of the total electricity consumption<ref>Power Holding Company of Nigeria – Project Management Unit, January 2009, National Load Demand System – National Energy Development Project – Draft final report Volume 1 – National Demand Load Forecast, Tractebel Engineering Suez and Omega Systems, p. 110</ref>. <span style="font-size: 10pt; line-height: 107%; font-family: Arial, sans-serif">As shown in the graph below, compared to the other West African countries, Nigeria’s electrification rates are relatively high, but have progressed at a relatively slower pace. In 2010, electrification rates were at 48% and had only increased by 5% since the early 1990s<ref>Sustainable Energy For All, 2013, Global Tracking Framework, p. 267</ref>.</span><br/><span style="font-size: 10pt; line-height: 107%; font-family: Arial, sans-serif"></span><span style="color:#FF0000">Figure missing</span><br/><span style="color:#FF0000"></span><span style="font-size: 10pt; line-height: 107%; font-family: Arial, sans-serif">As it can be seen in the figure below, the gap between rural and urban electrification rates is lower than in other West African countries, but remains significant (Rural: 35% and Urban: 62%)<ref>Sustainable Energy For All, 2013, Global Tracking Framework, p. 267</ref>.</span><br/><span style="color:#FF0000"><span style="font-size: 10pt; line-height: 107%; font-family: Arial, sans-serif">Figure missing</span></span><br/>Access rates also vary substantially amongst the states of Nigeria. For instance, according to the projections of the [[Www.jica.go.jp/english/|Japanese International Cooperation Agency (JICA)]], Taraba State had the lowest electrification rate in 2010 with 21% and Lagos the highest with 96%. Out of the 13 states that registered the lowest electrification rates, 10 were located in the North-West and North-East. The 8 states with the highest electrification rates were located in the South-West or South-South. The table below presents an overview of the state of electrification per state:<br/> |
| + | As a result of high economic growth and demographic pressure, in 2008, the Energy Commission of Nigeria (ECN) together with the International Atomic Energy Agency (IAEA) projected a demand of 15,730 MW for 2010 and 119,200 MW for 2030 under the reference scenario (7% yearly economic growth)As a result of high economic growth and demographic pressure, in 2008, the Energy Commission of Nigeria (ECN) together with the International Atomic Energy Agency (IAEA) projected a demand of 15,730 MW for 2010 and 119,200 MW for 2030 under the reference scenario (7% yearly economic growth)<ref>A. S. Sambo, 2008, Matching Electricity Supply with Demand in Nigeria, Fourth Quarter, International Association for Energy Economic, p. 33</ref>. Other actors like the defunct Power Holding Company of Nigeria (PHCN)<ref>Power Holding Company of Nigeria – Project Management Unit, January 2009, National Load Demand System – National Energy Development Project – Draft final report Volume 1 – National Demand Load Forecast, Tractebel Engineering Suez and Omega Systems</ref> or or World Alliance for Decentralized Energy (WADE) et al. have also developed scenarios<ref>World Alliance for Decentralized Energy, Christian Aid and International Centre for Energy, Environment and Development, August 2009, More for less: How decentralized energy can deliver cleaner, cheaper, and more efficient energy in Nigeria</ref>. The results of these studies vary widely, but they all conclude that the current gap between supply and demand is already very substantial (1:3) and that, it will continue widening if under a business as usual scenario. |