Photo caption: Minister of Power, Adebayo Adelabu
President Bola Tinubu’s administration is grappling with mounting challenges in its quest to revamp Nigeria’s crippling power sector as vandalism, poor distribution infrastructure, and other issues threaten to derail progress despite efforts to boost supply and increase generation, DARE OLAWIN reports.
When President Bola Tinubu was campaigning for his election, he promised to provide Nigerians with stable electricity during his four-year term in office. The President also told Nigerians not to vote for him for a second term if he failed to ensure stable electricity across the country. Upon assuming office, Tinubu kicked the ball rolling by engaging in various reforms that could revamp the crumbling power sector. The first step taken was to sign the Electricity Act 2023, thereby opening the sector for states to generate, transmit, distribute, and regulate electricity.
With the appointment of Adebayo Adelabu as Minister of Power and Olu Verheijen as his Special Adviser on Energy to spearhead reforms and implement the Electricity Act, the stage was set for the journey to provide Nigerians with a stable and reliable power supply. While strengthening the grid and upgrading transmission channels, the Rural Electrification Agency is also working to provide electricity for the underserved and unserved areas. The efforts of the government were to ensure that power gets to all and sundry, but various obstacles leave that dream far from realisation.
When Adelabu assumed office as the minister, one of the decisions taken was to categorise electricity consumers into bands. Customers on Band A enjoy a minimum of 20-hour power supply per day, but they pay the real cost of electricity without the ‘unrealistic’ government subsidies. The plan to move some customers to Band A generated angry reactions from many Nigerians, especially labour unions and manufacturers, whose electricity bills rose beyond their expectations. Nonetheless, the minister insisted that the sector could only survive with a cost-reflective tariff, as no investor puts his money where there will be no returns.
According to the Federal Ministry of Power, the government of Tinubu has made efforts to scale up the national grid through increased generation while increasing transmission capacity by expanding the transmission network by 6,000 megawatts and raising distribution capacity.
In a document from the presidency, it was stated that the government is reinforcing the Presidential Metering Initiatives including Meter Assets Provider and Meter Assets Fund. It is also implementing electrification intervention programmes, targeting vulnerable, unserved, and underserved populations. Also, there are plans to harness viable renewable energy sources by deploying renewable-powered, interconnected mini-grids and completing the Energising Education Programme to reach 37 universities and teaching hospitals even as the Energising Economics Programme will impact 400,000 small and medium businesses.
The Federal Government is reportedly mobilising approximately $7bn to enable investments in distribution and transmission networks, including metering and meter data management systems, as well as renewable energy. The objective of this is to improve the generation, transmission, and distribution of electricity to meet growing demand, enhance reliability, and support economic growth.
“The 6,000 MW electricity generation and transmission target for Nigeria is aimed at addressing energy shortages, improving power reliability, supporting economic growth, and meeting sustainability,” it was stated.
It could be recalled that Adelabu struggled to achieve the 6,000 6,000MW target in 2024, having raised power generation from 4,000 MW in 2023 to over 5,000 MW; it failed due to heavy vandalisation of power towers and cables in various parts of the country, especially in the north.
Reeling out its achievements since 2023, the Federal Government noted that it has delivered an additional 100.8 MW of power by mobilising financing for 11 GW through the capitalisation of the FGN Power Company. It was disclosed that an addition of 1,338.8 MW has been added to the transmission substations’ power capacity to boost transmission efficiency. There was also the commissioning of three new 330 kV power substations in Kano and Sagamu to strengthen the transmission network.
It was added that 65 kilometres of 330 kV lines had been completed alongside 90 per cent of the 1x150MVA 330/132 kV substation at Obajana. This also included the deployment and commissioning of 19 new transformers, further boosting electricity transmission capacity.
Earlier this year, Adelabu said power generation rose to a historic 6,003 MW, adding that this was a result of the Band A tariff hike. He stressed that tariff regularisation would push power generation to 7,000 MW.
“On March 2, 2025, Nigeria achieved a record available power generation of 6,003 megawatts, the highest in the nation’s history. This was followed by another landmark within the period when the country recorded a peak generation evacuation of 5,801.84 MW and a daily maximum energy output of 128,370.75 megawatt-hours,” the minister said in a statement by his spokesperson, Bolaji Tunji, in March.
However, this capacity has dropped again due to challenges like vandalism and alleged low off-take by distribution companies battling low recovery.
To further strengthen the power supply, it was learnt that a 700 MW transmission capacity was added through the Presidential Power Initiative. The FGN Power Company, in collaboration with Siemens Energy, commissioned 63 MVA substations in Oyo and Ogun States. Similarly, five state projects under the PPI were reportedly commissioned at Okene in Kogi State, Amukpe in Delta State, Potiskum in Yobe State, Apo in Abuja, and Ihovbor in Edo State.
In a bid to boost power supply in the northern part of the country, Adelabu revealed plans to revive the Makurdi hydropower project, the Kaduna thermal plant, and the Katsina wind farm.
“We are looking at developing the Makurdi hydropower project, which is about 1,000 megawatts. We also want to revitalise the Kaduna thermal plant that has been abandoned for the past five years. It is a 215-megawatt capacity plant presently at about 87 per cent completion. Efforts are presently ongoing to restore this power plant,” he said.
The minister said the state government has expressed interest in taking over the Katsina wind farm, with an installed capacity of 10 MW, in connection with some private investors. He added that the government had commissioned a feasibility study to concession the farm, which had been abandoned for years.
On metering, he maintained that no fewer than 200,000 prepaid meters would be delivered to the Federal Government for onwards distribution to electricity consumers. Adelabu said this was part of the Federal Government’s initiative to bridge the metering gap, which he described as a key driver of revenue losses and consumer distrust, underscoring systemic neglect.
He restated that the government has launched an N700bn presidential metering initiative and a World Bank-backed programme aimed at installing 4.3 million meters by the end of the year. The minister added that closing the seven million metering gap is essential to aid cost recovery and reduce revenue losses. Adelabu mentioned that 75,000 meters were deployed in April 2024, while an additional 200,000 are to be delivered soon.
However, despite the government’s efforts, over 85 million Nigerians are still in darkness. The grid collapses at intervals, throwing many into blackouts. Nigerians said there was no improvement in power supply, but the Federal Government insists that the reforms will yield the desired results, as there will be a steady and incremental power supply.
It was observed that many customers on Bands B to E are being sidelined as DisCos now prioritise Band A customers from whom they recover the real cost of electricity. This, it was learnt, has left many areas in blackouts.
To escape darkness, bulk electricity users, manufacturers, higher institutions, and individuals now abandon the grid to generate their own electricity, spending a lot of resources. Nigerians spend up to N16.5 tn to generate electricity, using petrol or diesel.
Recently, the Lagos State Commissioner for Energy and Mineral Resources, Biodun Ogunleye, said residents of Lagos State spent an estimated N14tn to buy fuel for their power generators annually. Ogunleye said there were about 4.5 million power generators in Lagos homes and offices, and these generators consumed about 16 billion litres of fuel annually. The cost of buying diesel and petrol could transform the power sector if the grid had been generating better supplies.
Challenges
The minister recently lamented the challenges facing the sector, blaming vandals and the DisCos. Adelabu lambasted the Discos, threatening to get tough with them. He touched on the persistent crisis threatening to derail progress in the sector: chronic underinvestment in distribution infrastructure, which he said continues to cripple service delivery nationwide in spite of landmark reforms in the electricity sector.
According to him, the DisCos were frustrating all the gains the government has made in the power sector, and they have disappointed the government with poor performance. The minister revealed glaring disparities in distribution company performance, with ageing networks, rampant electricity theft, and poor investment deepening reliance on unsustainable subsidies and leaving millions in darkness.
“We need to get tough with the DisCos, as they can easily frustrate all the gains we have made. They have disappointed us in performance expectations. Whatever we do in power generation does not mean anything to consumers if it is frustrated at the distribution points,” he said.
He noted that in the 2013 restructuring of the sector, the DisCos were supposed to have technical partners, but many of them showed partnerships with foreign companies for that purpose, which lasted for about three months. He regretted that immediately the DisCos took over, and those companies acting as technical partners left.
The minister stressed the need for investments in power distribution, saying, “We need utility companies that can invest in the sector to improve infrastructure and improve service. A lot of them went to the banks to take loans to buy the assets. After taking over, instead of providing infrastructure, they are taking out the money to pay the loans.”
According to the minister, despite tariff adjustments that boosted market liquidity by 70 per cent, raising sector revenue from N1tn in 2023 to N1.7tn in 2024, the distribution segment remains the weakest link.
“In the fourth quarter of 2024, DisCos in the north remitted just N124.4bn (30 per cent) of their N408.86bn invoice, with Abuja DisCo accounting for 85 per cent of northern payments. Southern DisCos fared slightly better, remitting N254.6bn (67 per cent), though 70 per cent of this came from the Lagos DisCos alone. These discrepancies are due largely to crumbling infrastructure outside economic hubs, where underinvestment has left networks dilapidated,” he worried.
He re-echoed that the DisCos that are not performing will be restructured, saying, however, that there is an urgent need for capital injection into distribution networks.
“Without urgent capital injection into distribution networks, gains in power generation, including a historic 6,003 MW output in March 2025, and transmission upgrades, such as 61 new transformers deployed in 2024, will fail to translate to a reliable household supply,” he worried.
But the DisCos refused to be blamed for the challenges in the sector, saying they had improved significantly compared to when they started over a decade ago. They stressed that they are not interested in the power sector politics, but they will support any policy that could enhance the power sector.
The Executive Director, Research and Advocacy, Association of Nigerian Electricity Distributors, Sunday Oduntan, said power distributors are working with the government to aid power supply.
“We, the DisCos, are working very hard with the Federal Government and state governments to ensure that we bring electricity to Nigerians. The more electricity we are able to distribute, the more money we can collect, and the more prosperity for Nigeria in terms of job creation. So, we are for progress, and we are interested in anything that will improve the power sector. We are not interested in the politics of the power sector. We are interested in the good policies of the Federal Government,” he stated.
Oduntan emphasised that the DisCos are for realistic policies, and they will not deceive Nigerians by telling them what is not possible. On claims of underperformance, he replied that though the DisCos are not where they should be, they have improved so much in the past 10 years.
“We are for performance. We are for realistic policies. We are for the steps that will be taken towards getting electricity to Nigerians. We will not deceive Nigerians. We will not tell you what is not possible. We will not tell you what we cannot do, and we will not tell you that we are perfect as DisCos. But I can tell you that we have improved so much in the last 10 years, but we are not where we are supposed to be. We are trying our best to get there,” Oduntan submitted.
Vandalism
As the government strived to boost power generation and supply, vandalism was cited as another major setback. According to the Transmission Company of Nigeria, 128 transmission towers were destroyed either by vandals or bandits between January and November 2024. As of November, ₦8.8bn had been spent for the repair and restoration of some of these transmission towers. It could be recalled that the military had to secure engineers to restore power to the north last year after bandits blew up the towers.
As vandals continue to attack critical power infrastructure, Adelabu called on the National Assembly to enact stricter legislation aimed at safeguarding these assets. According to him, vandalism should not be treated as a civil offence but a criminal one, adding that power theft, nonpayment of bills by consumers, and illegal connections are critical factors that need to be tackled. He stated that in spite of the challenges, the grid has been stabilised, saying the country has not witnessed any grid collapse since the beginning of the year. This, he said, was because the government invested heavily in power infrastructure which vandals target for attacks.
“The level of stability on our grid today is not by accident but by hard work and expenditure. In 2024, TCN installed 61 new transformers by either replacing aged ones or building new ones. Also in 2025, within the first four months, TCN installed about 13 new transformers, and there are high-capacity transformers ranging from 10 megawatts to 300 MW. Put together, they run into hundreds of millions of dollars to install, and these are what our people still go out to vandalise.
“Our towers are toppled by saboteurs and vandals; we have illegal connections and people tampering with meters. We need appropriate legislation and public vigilance to protect national assets that belong to every Nigerian. We need more stringent legislation to tackle this problem,” he said.
The minister also made a case for the TCN in appropriation, adding that the agency does not have enough money to fund its operations. He added that the sector also faces an N4tn subsidy backlog owed to generation companies, including N1.94tn for 2024 alone.
With monthly subsidy shortfalls now hitting N200bn, the minister warned that maintaining current tariffs is unsustainable as it strains public funds needed for infrastructure upgrades. This is an indication that tariffs may be increased over time, even without any improvement in power supply to many homes.
In the words of Oduntan, “Without resolving the issue of power, Nigeria will remain underdeveloped, with no major industrial or agricultural development.” To hasten growth and development, the nation must rise and give electricity to all and sundry.
The REA Managing Director, Abba Aliyu, has a lot to do to achieve the Mission 30:30:30. The Niger Delta Power Holding Company of Nigeria must put efforts in top gear to ensure all power plants become useful.
Conclusion
It could be deduced that President Tinubu’s efforts to revamp Nigeria’s power sector face significant challenges, including vandalism, infrastructure decay, and distribution woes. Despite progress in boosting generation and transmission capacity, the sector’s sustainability remains uncertain. The government must tackle these issues head-on, ensuring reliable power supply and supporting economic growth. Nigerians eagerly await tangible improvements, but only concerted efforts can turn the tide and fulfill Tinubu’s promise of stable electricity. The clock is ticking.
=== Culled from PUNCH ===
