2 April 2024

Challenges to the Nigerian power grid

What factors contribute to the myriad of challenges facing the Nigerian power grid?

Ageing infrastructure

A lack of maintenance and investment in power infrastructure negatively impacts the reliability of the grid affecting power distribution and use.


Things take a long time to be resolved in spite of the fact that many issues are replicated and standard operating procedures could be implemented.

Value chain bottlenecks

There are severe bottlenecks within the power value chain adversely affected by an absence of contractual performance and liquidity in the sector.

No cost-reflective tariff

To facilitate investment in the sector and promote economic development, the cost of providing power to the end user needs to be considered and applied throughout the power value chain.

Lack of cooperation between agencies

Different contributors to the power value chain are managed by different ministries. Greater cooperation would aid more reliable power supply.

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