Electricity Reforms: Experts Call for Stronger Nigeria Power Value Chain

By: Abudu Olalekan

Let’s be real for a second. Nigeria is drowning in energy resources. We’re literally swimming in gas. Yet, getting the lights to stay on for 200 million people? That feels like a cruel joke.

For decades, it’s been the same story. Hope. Frustration. Darkness. Repeat.

The grid collapses so often we barely flinch anymore. Gas supply is a nightmare. The debt pile is mountain-high. We’ve got the capacity to generate over 13,000 megawatts, but what do we actually get? Maybe 4,000. On a good day. Sometimes even less.

It’s a disaster.

Businesses are bleeding cash buying diesel. Families? They’re just trying to survive the heat without power. This isn’t just an inconvenience; it’s strangling the economy.

So, what’s actually breaking the system?
It’s the value chain. The whole thing is fragile.

Generation companies (GenCos) are screaming about gas shortages. The transmission lines? Overstretched and ancient. And the distribution companies (DisCos)… don’t even get me started. Metering gaps, revenue leaks, pure inefficiency. It’s a mess.

Now, the Feds are trying. President Tinubu approved a N3.3 trillion debt bailout. There’s also a broader N4 trillion framework floating around to try and fix the liquidity crisis. Some GenCos have even signed deals and gotten paid.

Under Dr. Adebayo Adelabu, the Power Minister, there’s been a tiny bump in generation. They’re tweaking tariffs for the big boys to cut subsidies. It’s a start. A step in the right direction? Maybe.

But here’s the thing.

Money isn’t the only problem
Experts are saying, “Hold up.” Throwing cash at this won’t fix the rot.

Chinedu Bosah from CARE (Coalition for Affordable and Regular Electricity) puts it bluntly. He says the real issue is systemic. We’ve got over 200 trillion cubic feet of gas, but we can’t seem to use it properly because of pricing wars and supply issues. You can have all the money in the world, but if you don’t have gas, you don’t have power.

Then there’s Dr. Olukayode Akinrolabu. He’s smart. He says we need a “calibrated” approach. Let the private sector play in generation and distribution, sure. But the government needs to keep a tight grip on transmission.

His point? The grid is the weak link. It’s a bottleneck. You can generate 20,000 megawatts today, and the grid will just laugh at you because it can’t take more than 5,000. Useless.

And Francis Bada over at Adglow Renewable Energy? He’s done with waiting for Abuja. He says we need to decentralize. Let the states do their own thing. Embedded power. Renewables. He points to places like Aba—they’re proving that local grids actually work.

The Bottom Line
Look, we’re at a crossroads.

Policy ambition is nice on paper. But what Nigeria needs is execution. Real, sustained execution. Fix the gas. Rebuild the grid. Get the rules straight.

Because this is bigger than just flipping a switch. If we fix power, we fix jobs. We fix industry. We fix the country. It’s that simple.