Nearly 20 years after reforms were introduced to liberalise Nigeria’s power sector, the industry has yet to deliver significant progress, the Nigerian Society of Engineers (NSE) has said.
Speaking at the 29th NSE October Lecture Series in Abuja on Friday, former NSE president Tasiu Gidari-Wudil criticised the sector’s performance, noting that installed capacity remains at about 13,000 megawatts, with average generation still below half that level.
“The sector has failed to deliver the promised transformation nearly two decades after liberalisation,” Gidari-Wudil said. “By now, we should have exceeded 30,000 megawatts, but due to political interference, regulatory lapses, and weak implementation, progress has been far below expectations.”
He identified persistent gas shortages, transmission bottlenecks and distribution inefficiencies as the biggest obstacles, alongside policy inconsistencies and political interference. While privatisation has introduced some accountability, he added, mismanagement and consumer indiscipline continue to undermine reforms.
According to him, more than $10bn has been invested since privatisation, yet Nigerians still face frequent blackouts, grid collapses and unreliable service. Transmission losses average 8–12 per cent, while collection rates in some distribution companies are as low as 30 per cent.
Despite the setbacks, Gidari-Wudil pointed to recent opportunities, including the 2023 Electricity Act, which empowers states to establish regulators and allows for the creation of an independent system operator. “We are moving towards a US-style model where every state has its utilities commission,” he said, urging regulators to adopt smart meters for customer-level monitoring.
He stressed the need for cost-reflective tariffs, transparent subsidies, and independent regulators. “The reforms were ambitious and well-designed, but poor execution and lack of political will have slowed them down,” he said.
NSE President Margaret Aina Oguntala said the lecture underscored the society’s role in shaping national policy. She pledged to escalate the recommendations to government and called for the engagement of Nigerian engineers in implementing solutions.
Special guest of honour, Sahara Group Managing Director Kola Adeshina, represented by Head of Generation Godwin Emanuel, urged stakeholders to reflect on their roles. “The solution is not far away; it lies in our collective commitment,” he said.
The NSE October Lecture, which brings together policymakers, engineers and industry leaders, reaffirmed that long-term political will and technical expertise are essential for the sector’s recovery.
