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Tag: NERC

  • Tinubu makes fresh appointments in NERC

    Tinubu makes fresh appointments in NERC

    President Bola Tinubu has nominated Mr Abdullahi Garba Ramat as Chairman/Chief Executive Officer of the Nigerian Electricity Regulatory Commission (NERC).

    ‎This is contained in a statement by Presidential Spokesperson, Mr Bayo Onanuga, on Thursday in Abuja.

    ‎Ramat, 39, is an electrical engineer with a PhD in Strategic Management and vast administrative experience.

    ‎President Tinubu also approved the nomination of two new commissioners to the NERC board.

    ‎Mr Abubakar Yusuf was named Commissioner for Consumer Affairs, while Dr Fouad Animashun was appointed Commissioner for Finance and Management Services.

    According to the statement, all nominations are subject to Senate confirmation.

    However, to avoid a leadership vacuum in the critical regulatory agency, the President directed that Ramat assume office in acting capacity pending his screening by the Senate, as stipulated by the law.

    Ramat served as Chairman of Ungogo Local Government Area, Kano State, from 2021 to 2024. He is a multidisciplinary STEM professional and strategic governance expert.

    ‎He holds a PhD in Strategic Management from Lincoln University, a Master’s in Electronics and Telecommunications Engineering from India, and a B.Eng in Electrical Engineering from Bayero University, Kano.

    ‎He thus bring a unique blend of engineering expertise, public sector innovation, and digital transformation insight to the Commission.

    The President urged the new appointees to use their knowledge and experience to discharge their functions and work assiduously to advance the administration’s power sector vision.

    These appointments are part of the Tinubu administration’s bold push to overhaul Nigeria’s energy sector and fast-track universal electricity access.

  • States lack power to fix tariffs for electricity generated from national grid – NERC tells Enugu Govt

    States lack power to fix tariffs for electricity generated from national grid – NERC tells Enugu Govt

    The Nigerian Electricity Regulatory Commission (NERC) has said the Enugu Electricity Regulatory Commission (EERC) lacks the authority to determine electricity tariffs when the power is generated and transmitted from the national grid.

    NERC made this known in a statement published on its website on Friday in Abuja, while clarifying that although the 2023 Electricity Act (EA) empowers States to regulate electricity within their jurisdiction, “States do not have jurisdiction over the national grid and over electric power stations established under Federal laws/operating under licences issued by the commission”.

    Recall that EERC recently reduced the tariff for Band A customers from ₦209.5/kWh to ₦160.4/kWh.

    NERC stressed that State Electricity Regulatory Commission must holistically incorporate the wholesale costs of grid supply to their states without any qualification or deviation in their design of tariffs for end-use customers in order not to distort the dynamics of the market.

    “Or be prepared to make a policy intervention by way of a subsidy for any deviation in the tariff structure that distorts the wholesale generation, transmission and legacy financing costs in the Nigeria Electricity Supply Industry (NESI),” the statement reads.

    The statement disclosed that NERC was aware of stakeholders’ concerns over EERC’s tariff order to Mainpower Electricity Distribution Ltd, which depend solely on power from the national grid.

    It said that NESI stakeholders had expressed concern about the consequences of the reduction of tariffs for Band A customers in MEDL’s network area to NGN160.4 per kWh.

    “And the freezing of tariffs of customers in the other bands on the wholesale generation and transmission costs along with the financing costs for legacy obligations in NESI.

    “It is pertinent to state that the NGN160.4 per kWh was arrived at largely by reducing the current average Generation Tariff of NGN112.60 per kWh to NGN45.75, with an assumption of subsidy component, a difference of N66.85 per kWh,” it said.

    According to the statement,  Section 34(1) of the EA places a statutory obligation on the commission to “create, promote and preserve efficient electricity industry and market structures, and ensures the optimal utilisation of resources for the provision of electricity.”

    It added that the commission was also aware that EERC as a sub-national electricity regulator also had a similar statutory obligation in their enabling law.

    The statement noted that neither NERC nor EERC as responsible regulatory institutions would take decisions that exposed the national grid and wholesale electricity market to a financial crisis in contravention of express powers granted to them by the Constitution.

    It added that the commission was currently engaging EERC on their tariff order as it related to any perceived area of misinterpretation/misunderstanding on wholesale generation and transmission costs on their import of power from the national grid and grants.

    The commission gave assurance of its unwavering statutory commitment that the electricity market would be made whole in terms of cost recovery in compliance with the laws of the Federal Republic of Nigeria.

  • DisCos rake in N553.63 billion revenue in Q1

    DisCos rake in N553.63 billion revenue in Q1

    The Nigerian Electricity Regulatory Commission (NERC) on Thursday disclosed that Electricity Distribution Companies (DisCos) collected a total revenue of N553.63 billion in the first quarter of 2025.

    According to NERC’s 2025 First Quarter Report published on its website in Abuja, the amount was realised from a total billing of N744.27 billion issued to customers during the period.

    The report noted that this represented a collection efficiency of 74.39 per cent, compared to 77.41 per cent in the fourth quarter of 2024, when DisCos collected N509.84 billion from a total billing of N658.40 billion.

    “Which translated to 77.44 per cent collection efficiency. The 74.39 per cent collection efficiency recorded in 2025/Q1 is 3.05 Percentage Point (PP) lower than the collection efficiency recorded in 2024/Q4 which represents 77.44 per cent,” it said.

    The report said that  four disCos recorded collection efficiencies up to 80 per cent with Eko DisCo recording the highest collection efficiency  which accounted for 84.79 per cent of the collection.

    “Conversely, Jos DisCo recorded the lowest collection efficiency with 47.19 per cent. A comparison of disCos’ performance shows that Kano had +6.55pp Abuja +4.81pp) and Enugu +0.72pp),” it said.

    According to the report, the three DisCos recorded improvements in collection efficiency between 2024/Q4 and 2025/Q1.

    The report said that the remaining eight DisCos recorded declines in collection efficiency with Port Harcourt recording  -15.11pp, Kaduna -7.12pp and Eko -5.21pp. It added that these Discos had the most significant declines over the period.

    The report also said that In 2025/Q1, billing and collection efficiencies declined by 2.47pp and 3.05pp respectively, compared to 2024/Q4.

    “Based on historical trends, this decline inefficiencies can be attributed to the increased energy off take of +10.06 per cent during the quarter compared to 2024/Q4.

    “It has been observed that there is an inverse relationship between DisCos’ energy off take and their billing/collection efficiencies.

    “Typically, when DisCos off take more energy, they often allocate the incremental energy to areas where they record historically lower billing and collection efficiencies, ‘’ it said.

    According to the report, the most proven methods to improve energy accounting and revenue recovery are accurate customer enumeration and the installation of end-use customer meters.

    It said that the commission issued the Order on the operationalisation of Tranche A of the Meter Acquisition Fund (MAF) in 2024/Q2.

    “The Order, which became effective on 24 June 2024, directed DisCos to utilise the first tranche of disbursement from the MAF scheme to procure and install meters for unmetered Band A customers within their franchise areas.

    “As of March 2025, DisCos have metered more than 41,000 Band A customers through the MAF scheme.

    “In addition to the MAF, DisCos are expected to continue to utilise any of the metering frameworks provided for in the NERC, Meter Asset Programme (MAP).

    “And the National Mass Metering Programme (NMMP ) metering regulation (2021) to improve end-use customer metering in their franchise areas, ‘’it said.

    The report added that these  metering initiatives by NERC would reduce commercial and collection losses, thereby improving the flow of funds to upstream market participants in the Nigeria Electricity Supply Industry (NESI).

    DisCos installed 187,194 meters in Q1 2025 – NERC

    Similarly, NERC on Thursday said Electricity Distribution Companies (DisCos) installed a total of 187,194 meters in the first quarter of 2025.

    NERC announced this in its 2025 First Quarter Report, published on its website in Abuja.

    According to the report, the figure marks a marginal increase of 0.41 per cent compared to the 186,431 meters installed in Q4 of 2024.

    The commission in the report said that the new installations pushed the end-user metering rate upward to 46.98 per cent, from the 46.57 per cent recorded in the previous quarter.

    “Out of 187,194 meters installed in the quarter under review, 148,713 meters, representing 79.44 per cent of total installations, were deployed under the Meter Asset Programme (MAP).

    “While 36,787 meters representing 19.65 per cent of meters installed came through the Meter Acquisition Fund (MAF), additionally, 1,074 meters, representing 0.57 per cent of the meters, were installed under the DisCo Financed framework.

    “620 meters representing o.33 per cent were installed under the Vendor Financed scheme framework,” it said.

    According to the report, Ibadan, Ikeja, and Abuja DisCos recorded the highest number of meter installations in the quarter under review.

    “The DisCos accounted for 22.80 per cent, 21.80 per cent, and 13.57 per cent, respectively, of the total installations.

    “ Compared to 2024/Q4,  Yola  DisCo at -56.70  per cent , Ikeja DisCo  -23.62 per cent, and Enugu DisCo   -12.31 per cent recorded significant decline, ‘’ it said.

    The report also said that as a safeguard for customers against exploitation due to the lack of meters, the commission has continued to issue monthly energy caps for all feeders in each DisCo.

    “This sets the maximum amount of energy that may be billed to an unmetered customer for the respective month based on gross energy received by the DisCo and consumption by metered customers on their respective feed.

    DisCos resolve 1,554 complaints in 2025/Q1 – NERC

    Also, NERC disclosed that the Electricity Distribution Companies (DisCos) resolved 1,554 complaints in the first quarter of 2025.

    NERC disclosed this in its 2025 First Quarter Report, published on its website in Abuja on Thursday.

    The report said that during the period, DisCos successfully resolved 1,554 out of the 4,169 complaints filed at the NERC- Customer Complaint Unit (CCU) and this translated to a resolution rate of 37.27 per cent.

    “The number of complaints received across all Disco-CCUs was 254,404, which represents a 7.72 per cent decrease compared to the 275,681 received in the fourth quarter of 2024.

    “The commission notes the poor resolution rate 37.27 per cent  complaints lodged at the NERC-CCU in 2025/Q1 and is taking steps to improve the speediness of complaint resolution by DisCos,’’ it said.

    According to the report, customers of Ikeja and Eko DisCos lodged 1,928 and 871 complaints, accounting for 46.25 per cent and 20.89 per cent respectively of the total complaints lodged at NERC-CCU.

    “Conversely, Kano DisCo had the lowest number of complaints with which was eight representing 0.19 per cent, ‘’ it said.

    The report said that as in previous quarters, metering, billing and service interruption were the prevalent issues of customer complaints during the quarter

    It stated that pursuant to the provisions of its Customer Protection Regulations 2023 (CPR 2023), the commission set up forum offices across the country to review unresolved disputes from the DisCos’ Complaint Handling Units (DisCos-CCU).

    “The total number of active appeals across the Forum Offices in 2025/Q1 was 1,722 made up of 1,178 new appeals in 2025/Q1 and 544 pending appeals from 2024/Q4.’’

    The report added that during the period, the forum panels held 58 sittings and resolved 1,276 of the appeals filed at forum offices nationwide resulting to 74.10 per cent resolution rate.

    “The resolution rate was 6.48 Percentage Point (PP) higher than the 67.62 per cent achieved in 2024/Q4. This represents a 7.82pp increase compared to the 29.45 per cent resolution rate recorded in 2024/Q4, ” it said.

  • FG targets 1.1m meters by year-end – Minister

    FG targets 1.1m meters by year-end – Minister

    The Federal Government, through the Ministry of Power, is targeting the deployment of 1.1 million meters by the end of 2025.

    The Minister of Power, Mr Adebayo Adelabu, made this known on Thursday during the 6th Edition of the 2025 Ministerial Press Briefing Series in Abuja.

    Adelabu said that the ministry would also distribute two million meters annually in the next five years as the procurement process had started.

    According to him, through the World Bank-funded Distribution Sector Recovery Programme (DISREP), over 3.2 million meters will be procured and installed alongside meter data management solutions for Electricity Distribution Companies (DisCos) optimisation.

    “The first batch of 75,000 meters under the International Competitive Bid 1 (ICB1) arrived in April, with 200,000 more expected in May,‘’ he said.

    Adelabu said that under the renewable energy, rural electrification and energy transition, the country had continued to lead on renewable initiatives by powering sustainable development while bridging the energy access gap.

    He said that in the first quarter of 2025, the Federal Government accelerated its  transition to clean energy solutions while bringing electricity to underserved communities through innovative off-grid systems.

    “These efforts align with our commitment to climate action, energy security and inclusive growth, ensuring that no Nigerian is left behind in our journey toward a sustainable energy future,‘’ he said.

    According to him, through the Rural Electrification Agency (REA) the Federal Government, under the Energising Education Programme (EEP), was designed to provide a reliable power supply to 37 Federal Universities and seven affiliated teaching hospitals across Nigeria.

    Adelabu said that the EEP phases 1 and 2 implemented in collaboration with the World Bank had been successfully completed, adding that the EEP 3, implemented in collaboration with AFDB is about 70 per cent completed.

    He said that the projects would collectively add a total of 100 Megawatts (MW) of clean energy to electricity generated.

    Adelabu  said that another remarkable initiative  of the power sector was the Distributed Access through Renewable Energy Scale-up (DARES) project, which is a 750 million dollars  initiative funded by the World Bank.

    “The project also aim to scale up Nigeria’s energy access gap by providing new or improved electricity supplies to more than 17.5 million Nigerians.

    “This initiative aims to increase access to electricity services for households and small and medium businesses with private sector-led distributed renewable energy generation and encourage Productive Use of Energy (PUE).

    “The proposed project is a part of the World Bank’s comprehensive, programmatic engagement in Nigeria’s power sector to help the Federal Government realise its ambitious Energy Transition Plan (ETP) vision, ‘’ he said..

    The minister said that through the Africa Mini-grid Programme, the Federal Government had secured 5.91 million dollars in grants for 23 projects.

    He said that the Federal Government had also signed an agreement with Oando Clean Energy for a 1.2 gigawatt solar plant with panel recycling capabilities.

    He said that the signing of the agreement was to ensure that the country do not just consume solar technology but participates in its full life cycle.

  • Electricity supply: FG to settle unpaid subsidies with N2 trillion

    Electricity supply: FG to settle unpaid subsidies with N2 trillion

    The Federal Government says it plans to pay Power Generation Companies  (GenCos) two trillion Naira out of the four trillion Naira debt owed them before the end of 2025.

    The Minister of Power, Mr Adebayo Adelabu said this on Thursday in Abuja at the 6th Edition of the 2025 Ministerial Press Briefing Series.

    Adelabu was reacting to an appeal by the GenCos urging to the Federal Government and stakeholders in the power sector to settle than outstanding debts owed them for electricity generated.

    “I can tell you that between now and the end of the year, we are going to pay close to two trillion Naira out of these four trillion Naira owed GenCos.

    “These debts are primarily unpaid subsidies, almost half of it was inherited, while about half of came from 2024 operations.

    “There are plans underway to make these payments.  I will not say it will be paid 100 per cent; we will be paying it gradually, ‘’ he said.

    Adelabu said that the mode of payment would be in two ways, adding that there would be some budgetary provisions which will facilitate cash payments.

    He said that government was also discussing with the GenCos to give them some guaranteed debt instruments like promissory notes.

    “These promissory notes will be liquid enough for it to be taken to the banks for discounting if they need immediate cash injection.

    “It is a combination of cash payments and promissory notes.

    “I  had discussions with the Minister of Finance and the Coordinating Minister for the Economy, who has promised that they are working on the promissory note, and once we have budget releases, cash payments will also be made. ‘’ he said.

    Adelabu also said the government had earmarked N25 billion in the 2025 budget to light up major highways in the country as part of national security efforts.

    The minister said that beyond just supplying power to homes and businesses,v lighting up highways was also part of the Federal Government’s strategy to improve security.

    “I believe that this will continue in subsequent appropriation. We have noted it. I will ensure we start the process as soon as we start getting budget releases,” he said.

    Speaking on subsidy, Adelabu said that government coild not a keep funding subsidy after privatisation which keeps growing on an annual basis.

    “As our consumption grows, government subsidy keeps growing. So we need to nip it in the bud.

    “We are not saying stop subsidy completely. But subsidy in the past has always been favouring the higher echelon in our society because of huge consumption.

    “We want to devise a subsidy strategy that will favour the poor so that it will be graduated, If you consume energy to a particular threshold, you will enjoy subsidy.

    “Once it is going above a particular threshold, the tariff will go up,  so that the poor will not be impacted negatively because of subsidy,” he said.

    Adelabu also said the Nigerian Electricity Regulatory Commissin (NERC)  oversight function  would remain strong in ensuring that Electricity  Distribution Companies (DisCos) meet their service obligations.

    The minister said that any DisCo charging Band A tariff but failing to provide 20 hours of electricity daily would be penalised.

    “If it is discovered that any DisCo is collecting tariff but not supplying up to 20 hours, there are penalties.

    “Recently eight DisCos were fined N628 million. The moment they are detected, they will be fined. Where you have feeders downgraded from band A, they are not expected to charge band A, ‘’ he said. tariff.

  • NERC slams N628m fine on 8 electricity firms

    NERC slams N628m fine on 8 electricity firms

    The Nigerian Electricity Regulatory Commission (NERC) has fined eight Electricity Distribution Companies (DisCos) N628, 031,583.94 for non-compliance with capping of estimated bills for unmetered customers.

    The commission made this known in a statement on its website in Abuja on Thursday.

    The commission listed the DisCos affected to include: Abuja, Eko, Enugu, Ikeja, Jos, Kaduna, Kano, and Yola.

    It said that the non-compliant DisCos were sanctioned to pay fines amounting to   N628,031,583.94, which is equivalent to 5 per cent of the naira value of the gross overbilling for the period under review.

    According to NERC, it sanctioned the DisCos pursuant to section 34(1)(d) of the Electricity Act 2023 (“EA 2023”).

    It said that the DisCos failed to fully comply with the monthly energy caps issued by the commission between July and September 2024.

    ”The public may recall that in 2020, the commission issued the Order on Capping of Estimated Bills (Order No: NERC/197/2020) and subsequently issued monthly energy caps.

    ”Which aimed to align the estimated bills for unmetered customers with the measured consumption of metered customers on the same supply feeder.

    ”A review of DisCos’ billing of unmetered customers for July to September 2024 (2024/Q3) revealed non-compliance with the monthly energy caps issued by the commission,” it said.

    The commission  said that it had also mandated the DisCos to issue commensurate credit adjustments to all customers affected by the over billing by May 15, which end the April 2025 billing cycle.

    The commission  also reaffirmed its commitment to regulatory compliance and consumer protection within the Nigerian Electricity Supply Industry.

  • NERC transfers Plateau electricity oversight to state’s regulator

    NERC transfers Plateau electricity oversight to state’s regulator

    The Nigerian Electricity Regulatory Commission (NERC) says it has issued an order to transfer regulatory oversight of the electricity market in Plateau to the State Electricity Regulatory Commission (PSERC).

    The commission, in a statement on its X handle in Abuja on Friday said that the transfer  was in compliance with the amended Constitution  of the Federal Republic of Nigeria (CFN) and the Electricity Act (EA) 2023 as Amended

    The commission recalled that with the EA 2023, it retained the role as a central regulator with oversight of inter-state/international generation, transmission, supply, trading and system operations.

    ”The EA also mandates any state that intends to establish and regulate intrastate electricity markets to deliver a formal notification of its processes and requests to NERC.

    “The request is to transfer regulatory authority over electricity operations to the state regulator.

    ”Based on this, the Government of Plateau complied with the conditions precedent in the laws, duly notified NERC and requested for the transfer of regulatory oversight of the intrastate electricity market,” it said.

    According to the commission, the transfer order has the certain provisions.

    “It directed Jos Electricity Distribution (JED) to incorporate a subsidiary (JED SubCo) to assume responsibilities for intrastate supply and distribution of electricity in Plateau from JED.

    “It said that JED shall complete the incorporation of JED SubCo within 60 days from March 12.

    “The subcompany shall apply for, and obtain licence for the intrastate supply and distribution of electricity from PSERC, among other directives.

    ”All transfers envisaged by this order shall be completed by Sept. 12,” it said.

    Plateau is the 11th state that has obtained NERC’s order of transfer of regulatory oversight.

    The other 10 states: Enugu, Ekiti, Ondo, Imo, Oyo, Edo, Kogi, Lagos, Ogun, and Niger.

  • NLC rejects migration of lower electricity tariffs to band A

    NLC rejects migration of lower electricity tariffs to band A

    The Nigeria Labour Congress (NLC) has rejected plans by the Nigerian Electricity Regulatory Commission (NERC) to migrate electricity consumers from lower tariffs to Band A.

    This was contained in a communique issued at the end of the National Executive Council (NEC) meeting of the NLC held in Yola, Adamawa State.

    The communique, jointly signed by

    Mr Joe Ajaero, President of NLC and Mr Emmanuel Ugboaja, General Secretary of the Congress, was made available to newsmen on Sunday in Abuja.

    The labour leaders said NEC “unequivocally” rejected the ongoing reclassification of electricity consumers by the NERC.

    They said the plan to migrate consumers from lower bands to band A under the guise of service improvement would lead to unjustified extortion of the masses and economic hardship for the working class and broader Nigerian populace.

    According to them, the migration would further deepen the misery of Nigerians.

    “Whereas inflation has soared, wages remain stagnant, and the cost of living has become unbearable,

    “The NEC-in-session warned that any attempt to announce further electricity tariff increases would be met with mass resistance.

    “The Congress resolved to immediately mobilise for a nationwide protest should the Ministry of Power and NERC proceed with their exploitative plan to further hike electricity tariffs under any guise,” they said

    The labour leaders also said that NEC  acknowledged the agreement reached between NLC and the federal government through the Joint 10-Man Committee, which reduced the initially proposed telecommunications tariff hike from 50 to 35 per cent.

    They said NEC resolved that if the agreement us not implemented by March 1, it will direct its National Administrative Council (NAC) to deploy all necessary instruments to enforce compliance.

    On the State of the Labour Party, they said NEC-in-session directed the National Administrative Council (NAC) to take some immediate steps.

    The steps, according to the labour leaders, included,  rebranding, merger or forming of coalitions to defend the interests of NLC and Nigerian workers in the Party with a view to reclaiming the Party and returning it to its original ideological roots.

    They said the congress would not allow the Labour Party to be hijacked by reactionary forces who do not represent the aspirations of the working people and broader Nigerian

    They urged workers to remain resolute, organised, and uncompromising in the collective struggle for a fair and equitable Nigeria.

  • NERC transfers electricity oversight to Niger

    NERC transfers electricity oversight to Niger

    The  Nigerian Electricity Regulatory Commission (NERC) has issued an order to transfer regulatory oversight of the electricity market in Niger  to the State Electricity Regulatory Commission (NSERC).

    The commission in a statement on its X handle in Abuja on Friday said that the transfer  was in compliance with the Constitution   and the Electricity Act (EA) 2023 as Amended.

    The commission said that in accordance with the provisions of the EA 2023, it retains the role as a central regulator with regulatory oversight on the inter-state/international generation, transmission, supply, trading and system operations.

    It said that the EA also mandates any state that intends to establish and regulate intrastate electricity markets to deliver a formal notification of its processes and requests  to NERC to transfer regulatory authority over electricity operations to the its regulator.

    ”Based on this, the Government of Niger complied with the conditions precedent in the laws, duly notified NERC and requested for the transfer of regulatory oversight of the intrastate electricity market in the state.

    ”Following the request, NERC directed the Abuja Electricity Distribution (AEDC) to incorporate a subsidiary (AEDC SubCo) to assume responsibilities for intrastate supply and distribution of electricity in Niger  from the company, ”it said.

    The commission said that AEDC  should complete the incorporation of AEDC SubCo within 60 days from Jan. 10 and the sub -company shall apply for and obtain licence for the intrastate supply and distribution of electricity from NSERC, among other directives.

    It also directed Ibadan Electricity Distribution Company Plc (IBEDC) to incorporate a subsidiary (IBEDC SubCo) to assume responsibilities for intrastate supply and distribution of electricity in Niger from IBEDC.

    NERC said, ”IBEDC shall complete the incorporation of IBEDC SubCo within 60 days from Jan. 10.

    ”The sub- company shall apply for and obtain licence for the intrastate supply and distribution of electricity from NSERC, among other directives,” it said.

    The commission directed that all transfers envisaged by this order be completed by July 9.

  • Manufacturers count losses, seek improved power supply

    Manufacturers count losses, seek improved power supply

    The Manufacturers Association of Nigeria (MAN) has called for collaborative strategies on cutting-edge technologies, policy frameworks, and financing models to support the country’s transition to sustainable and sufficient energy supply.

    MAN President, Mr Francis Meshioye, said this at the Manufacturers Energy Security Summit on Tuesday in Lagos with theme: “Power Supply Adequacy for Industrial Growth in Nigeria.”

    Meshioye said this was critical to enable the industrial sector contribute more significantly to the country’s Gross Domestic Product. He stated that energy security was not only a business imperative but a national priority.

    Meshioye noted that the challenges facing the manufacturing sector included unreliable power supply, high energy costs, and environmental concerns. He, however, stressed that in those challenges were opportunities for innovation, job creation, and sustainable growth.

    “In shaping the future of manufacturing in Nigeria, let us work together to foster collaboration and knowledge sharing and identify innovative solutions to accelerate the journey towards energy security for manufacturers.

    “We must promote sustainable manufacturing practices and support policy reforms that encourage investment in renewable energy to help reduce energy cost,” he said.

    Mr Sanusi Garba, Chairman, Nigerian Electricity Regulatory Commission (NERC), noted that while electricity was the oxygen for industrialisation and economic growth, it required long term investments.

    Garba represented by Mr Musiliu Oseni, Vice Chairman, NERC, said the Electricity Act 2023 has provided the foundation for improving the Nigerian power sector.

    He, however, noted that its implementation without addressing fundamentals would not guarantee desired improvement.

    He said that while the Nigerian power sector currently struggled to meet customers expectation due to myriad of challenges, huge patient capital was required for investments to guarantee sustainable supply.

    “Powering the Nigerian economy requires huge investments but resources are limited hence the need for a deliberate policy approach.

    “Nigeria needs a powering industry policy that deliberately seeks to improve power supply to industrial clusters supported by existing regulatory instruments,” he said.

    The Managing Director, Association of Nigerian Electricity Distributors, Mr Sunday Oduntan, noted that no country could succeed without manufacturing as the bedrock of its development. According to him, the power sector is very important for manufacturing as economy can grow in the dark.

    Oduntan said Nigeria’s power supply was heavily dependent on gas, with frequent disruptions in supply, limiting diversification and sustainability.

    He said the country should diversify into wind, hydro and increase investment in other energy sources to reduce dependence on fossil fuels.

    “Nigeria should secure consistent gas supply contracts and incentivise local gas production for power. Also, electricity tariffs are often below cost-reflective levels, leading to financial losses for distribution companies and limiting investment in the sector.

    “The solution is to gradually adjust tariffs to reflect actual supply costs, combined with subsidies or targeted aid for low-income households,” he said.

    Mr Matthew Edevbie, the Group Managing Director, Income Electrix Ltd., noted that Nigeria currently faced a huge power supply deficit and that high cost of infrastructure for its development meant the issue may not be resolved quickly.

    Edevbie said to solve the issue, oversized and expensive diesel generators were being used making the need for cheap and reliable energy for industrial growth a necessity.

    He said a combination of energy source optimisation, energy efficient utilisation and low energy consuming equipment could reduce manufacturers overall energy spending by up to 60 per cent or more.

    “Nigeria incurs approximately $26 billion in economic losses annually due to electricity shortages and businesses spend an additional $22 billion on off grid fuel solutions to mitigate the effects of power outages.

    “There is thus an urgent need to improve power supply to save the manufacturing sector as doing so will have many positive effects on the economy.

    “In spite of these challenges plaguing the power sector and consequently the industries In Nigeria, there exist opportunities for us to improve our lot and make things better via a holistic approach.

    “The approach must focus on optimising the country’s generation resources and efficiently utilise its power,” he said.