Nigeria’s Minister of Power, Adebayo Adelabu, said the Bola Tinubu administration has introduced significant reforms to revive the country’s electricity sector, adding that recent gains have boosted Nigeria’s ability to supply power at home and across the West African region.
Speaking with PREMIUM TIMES on the sidelines of the West Africa Energy Cooperation Summit in Accra, Ghana, the minister highlighted current power generation from hydro and thermal sources, adding that plans are underway to integrate large-scale solar projects, particularly across northern Nigeria.
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Mr Adelabu acknowledged that significant challenges persist, but stressed that the sector is undergoing a sustained transformation aimed at powering Nigeria’s industrial growth and enhancing energy security across the West African sub-region.
Although time constraints prevented the minister from addressing all PREMIUM TIMES’ questions, he spoke on a wide range of issues, including power sector reforms, the Electricity Act 2023, major market restructuring, generation capacity, grid stability, infrastructure development, the West African Gas Pipeline, and Nigeria’s goal of achieving universal electricity access.
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Excerpts:
PT: Over the past two years, what concrete steps has your ministry taken to revitalise Nigeria’s power sector, and what tangible results can Nigerians point to so far?
Adelabu: A lot has happened in Nigeria over the last two years, particularly since the start of this administration, in relation to activities in the power sector.
We’ve seen increased vibrancy, greater awareness, and a heightened sense of purpose around improving the sector. I can summarise our achievements under five key pillars.
First, we have implemented extensive legislative and policy reforms. Previously, the power sector in Nigeria was centralised, and only the federal government could operate across the entire value chain from generation to transmission and distribution. That has now changed with the Electricity Act of 2023, which the president signed immediately after assuming office in May 2023. The Act achieved two major things:
Decentralisation allows both national and sub-national governments to participate legally across the electricity supply chain, opening the sector to private investors, both local and foreign, who can now bring in capital and operate in any segment of the value chain.
Second, we have advanced major market reforms, including our transition toward full cost-reflective tariffs. Previously, electricity was roughly 70 per cent subsidised by the federal government, meaning consumers paid only about 30–35 per cent of the actual cost.
Today, about half of consumers have moved to full commercial pricing, paying cost-reflective tariffs. As a result, sector revenue has more than doubled within two years, and more customers are being migrated gradually.
We also restructured the Transmission Company of Nigeria into two entities, the Transmission Service Provider and the Independent System Operator, leading to improved service delivery.
Third, we have undertaken infrastructure upgrades across the entire value chain. Power generation capacity has increased from 13,000 megawatts to 14,000 megawatts. In transmission, under the Siemens-supported Presidential Power Initiative, we have added about 700 megawatts of capacity, and we are now entering Phase One, which will add another 7,000 megawatts.
Nigeria’s transmission capacity has grown from 5,000 megawatts to about 8,500 megawatts, and we are currently transmitting only around 6,000 megawatts.
Presently, the grid is more stable, and grid collapses have largely been eliminated.
In distribution, we are expanding infrastructure —power lines, transformers, injection substations — and working to close the metering gap. Out of 13 million customers, fewer than 7 million are metered, with over 6 million still on estimated billing. This gap is being addressed. We are also embracing renewable energy sources such as solar and wind in line with our energy transition commitments.
Fourth, we have invested in human capacity development. Our engineers had gone too long without adequate training, and we are now building their skills to sustain the sector. We are also deepening local content, ensuring that equipment such as meters, batteries, and solar panels is produced domestically. In fact, we recently exported solar panels from Nigeria to Ghana for the first time.
Fifth, our efforts are aimed not only at meeting domestic demand but also at supporting the West African sub-region. As the largest market in the region with abundant natural resources —gas reserves, dams, and more, Nigeria plays a central role in the success of the West African Power Pool.
With synchronised transmission lines and frequencies across the region, it will become easier to export power from Nigeria to other African countries.
The West African Gas Pipeline has already been extended to Ghana, stabilising power supply there. Our long-term goal is to extend gas supply all the way to Europe through North Africa, with Morocco as the next major destination.
PT: Gas supply remains critical to electricity generation. How is your ministry addressing the growing demand for gas, particularly in the power sector?
Adelabu: Regarding concerns about gas supply, although Ghana is considering a 1,200-megawatt thermal power plant and additional gas processing infrastructure, this does not pose a threat to Nigeria’s gas market.
Nigeria currently supplies less gas than Ghana requires, and we are encouraging further investment to exploit the vast, unutilised gas reserves in Nigeria.
As long as the right pricing is maintained, Nigeria will remain well-positioned to supply Ghana and other countries, while also meeting local demand for power generation and industrial use.
PT: West African nations share a common goal of achieving universal electricity access. What specific access target has Nigeria set, and what progress has been made toward achieving it?
Adelabu: Every West African country has a universal electricity access target, most aiming for 2030. Many nations, including Ghana, Gambia, Benin, and Togo, are already close to achieving this. Nigeria currently stands at about 63 per cent access and, given its population of over 200 million, requires significant investment to reach universal access by 2030.
We are exploring all available opportunities, including grid expansion and renewable energy solutions for rural and remote areas.
PT: Nigeria is currently expanding gas infrastructure through the West African Gas Pipeline, now in Ghana and projected to extend to Morocco, and eventually Europe. What measures is the government taking to ensure the security, maintenance, and sustainability of these pipelines along their entire stretch within and beyond Nigeria’s borders?
Adelabu: Last year, we faced major challenges on the issue of pipeline security, including vandalism that affected transmission infrastructure. Since then, we have worked closely with the National Security Adviser and security agencies to safeguard critical national assets.
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We have also engaged host communities to emphasise the importance of protecting these pipelines, and national advocacy efforts are ongoing to ensure everyone understands the impact of infrastructure damage on national welfare, industrial growth, and institutional functioning.
Today, incidents of vandalism have reduced significantly, and the assets are now more secure. We will continue strengthening protection measures to ensure that the gas and power sectors remain stable and effective.
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