Integrated Energy and Climate Planning

DisCo Network Expansion Plan

Client Challenge
Disco Network Expansion Planning in the Ikeja, Ibadan, Abuja regions, Nigeria.

Tangible impact
The revenue maximisation has recently been deployed in Abuja and Ikeja EDC’s. When deployed in Ibadan, it produced a 22% increase in revenue in the following month, and an average monthly growth rate of over 2% over the next 9 months.
We have had a positive response from all the EDC’s who have used the model.

Our approach
We have supported the management team in tariff renegotiation, contracting arrangements, incentive regulation, capacity building, regulatory compliance, business planning and business performance. We have provided advice system planning activities via detailed analytical modelling to produce energy demand and network expansion models.

  • Developed of a loss reduction and network expansion methodology suitable for Nigerian DisCos. The methodology recognises revenue/kWh for each feeder is different depending on the mix of customers and ATC&C losses. The revenue/kWh by feeder provides a value for reducing technical losses and a Value of Unmet Demand.
  • Developed a least-cost network expansion and loss reduction model to derive capital expenditure to upgrade the network and remove constraints.
  • Modelling provides an investment strategy taking into account prevailing market liquidity conditions and the restriction of available funding requiring investments to be ranked and sequenced.