Electricity Supply Declines Nationwide
Electricity generation in Nigeria dropped sharply on Friday, raising fresh concerns over the country’s unstable power supply.
Data obtained from the Nigerian Independent System Operator showed that generation fell to 3,527.76 megawatts.
The figure represents a decline of 877.28MW from the 4,405.04MW recorded the previous day.
Consequently, businesses and households may continue to face poor electricity supply across the country.
Experts Blame Gas Constraints and Weak Infrastructure
Power sector stakeholders linked the latest drop to gas supply challenges and aging transmission infrastructure.
They warned that the sector could remain unstable without urgent reforms and infrastructure upgrades.
Experts also identified policy inconsistency and weak regulation as major setbacks affecting growth.
In addition, they pointed to corruption and lack of political commitment as key obstacles.
Energy Economist Highlights Debt Burden
Energy economist, Prof. Wumi Iledare, said the Nigerian power sector remains financially trapped.
According to him, legacy debts exceeding N4tn continue to weaken the entire electricity value chain.
He explained that generation companies remain unpaid while gas suppliers struggle financially.
Furthermore, distribution companies face operational challenges, while the Nigerian Bulk Electricity Trading company remains overstretched.
Sector Needs Structural Reforms
Iledare argued that government interventions have failed to solve the root problems in the sector.
He described many intervention measures as temporary solutions that only address liquidity issues.
According to him, Nigeria must adopt cost-reflective tariffs with targeted subsidies.
He also urged authorities to strengthen governance and enforce market discipline.
“Without structural reforms, the market will remain broken despite continuous policy support,” he said.
CPPE Warns of Deep Structural Problems
The Chief Executive Officer of the Centre for the Promotion of Private Enterprise, Muda Yusuf, also expressed concern over the state of the sector.
He said Nigeria’s electricity industry still faces serious financial and governance challenges.
Yusuf noted that tariff distortions, weak investor capacity, and transmission bottlenecks continue to hurt performance.
Moreover, he explained that the inability to implement cost-reflective tariffs has widened the sector’s financing gap.
Government Support Still Necessary
Yusuf stated that subsidy dependence remains high because of social and political concerns.
As a result, the government continues to intervene to prevent total system collapse.
He stressed that authorities must balance reforms with measures that protect vulnerable consumers.
Meanwhile, experts insist that long-term stability depends on stronger policies and improved infrastructure investment.
