The National Coordinator of the Coalition for Affordable and Regular Electricity (CARE), Mr Chinedu Bosah, has described last year’s performance of Electricity Distribution Companies in Nigeria as “abysmal.”
Bosah in an interview with the News Agency of Nigeria (NAN) on Wednesday, knocked the DisCos for prioritising profit at the expense of infrastructural upgrades, noting that the power sector witnessed widespread consumer complaints about the erratic power supply and sky-high electricity billing.
He also criticised DisCos for failing to distribute free metres to as many Nigerians as possible, stressing that the popularity of estimated billing in the absence of prepaid metres is a significant problem in the industry.
“Approximately 55 percent of households connected to the national grid, around seven million, still lack meters. Meters, which should be provided free of charge by the DISCOs, have become an expensive commodity due to a profit-driven meter supply mechanism.
“In 2024, many consumers were forced to purchase prepaid meters at exorbitant prices from Meter Asset Providers (MAP), exacerbating the financial strain on households. This is a clear example of how the privatisation of the sector has turned it into a money-spinning venture at the expense of ordinary Nigerians,” he said.
Energy Inequality
Bosah also criticised the energy inequality created by DisCos with the approval of the government, in which some Nigerians get more supplies than others.
- He compared the high Band A tariff, which offers premium services to a few, to an “apartheid-styled” system, where only the wealthy could afford power, while the majority wallow in darkness or consume minimal electricity.
- He argued that electricity should be a basic right, not a privilege. He stressed that the sector should prioritise making electricity available to the people rather than an obsession with profits.
- He also noted that vandalism of electricity infrastructure and inadequate gas supply are other persistent issues contributing to the rising energy poverty and the power industry’s grim outlook
“A significant factor contributing to the sector’s crisis is the shortage of gas for power generation.
“As a country rich in oil and gas resources, Nigeria should be investing more in gas exploration and transportation to ensure a steady and affordable supply for power plants.
“However, the government’s lack of investment and reliance on multinational companies have led to high gas prices, further compounding the sector’s challenges,” he explained.
He called for a reduction in gas prices from $2.4 per MMBTU to below $1 per MMBTU to enable more power generation and improve the economy.
Outdated infrastructure and frequent grid collapses
In his further review of the sector, the expert also noted the frequent grid collapses in 2024 as a shortcoming of the Transmission Company of Nigeria (TCN) and proof that Nigeria’s electricity infrastructure is outdated.
Nairametrics reported that the national grid collapsed at least 11 times in 2024, an unprecedented trend
“The most recent grid failure, which occurred on Dec. 11, marked the 12th collapse of the year. This highlighted the pressing need for modernisation and investment in the transmission network.
“The core issues in Nigeria’s power sector—neglect, lack of investment, and failed privatisation—have led to a system in disarray, with generating plants operating at a fraction of their installed capacity.
“Despite having the potential to generate 14,000MW of electricity, the country struggles to produce even 4,000MW on average, further illustrating the scale of the crisis,” he said.
He added that if public funds “currently being misallocated” were invested in the power sector, Nigeria could achieve affordable, uninterrupted power supply.
He argued that the solution to the pervasive issues was to nationalise the sector and place it under the democratic control of workers and communities.
