Nigeria is still battling epileptic power generation and supply, yet stable electricity is key to its industrialisation, job creation and quality of life. Without it, factories cannot run at full capacity and Nigerian goods remain uncompetitive as manufacturers rely on costly diesel generators.
Nigeria’s national grid supply hovers around 4,300 MW against estimated demand of over 20,000 MW. Installed generation capacity is about 14,000 MW, but transmission infrastructure can carry only around 7,000 MW. Transmission inefficiencies cost the sector an estimated ₦5–8 billion monthly, according to the Nigerian Independent System Operator (13 Apr 2026).
Reforms anchored by the Electricity Act of 2023 now empower states to generate and regulate power. Energy expert Mustapha Habu urged Nigeria to draw lessons from India’s Liberalisation, Privatisation and Globalisation (LPG) reforms of 1991, which dismantled excessive government controls, opened the economy to private and foreign investment, and encouraged competition and technology transfer.
He argued Nigeria should treat solar, wind and hydro (scaled with storage) as a backbone of industrial growth rather than a quick fix, stressing policy consistency, local manufacturing, skills development and stronger collaboration among government, academia and industry.
