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Home Sectors Energy

FG approves National Integrated Electricity Policy to reshape power sector in Nigeria 

Olalekan Adigun by Olalekan Adigun
May 6, 2025
in Energy, Sectors
FG, States and LGAs share N1.35 trillion as FAAC allocation in June
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The Federal Government has approved the National Integrated Electricity Policy (NIEP)—a landmark blueprint poised to reshape Nigeria’s power landscape, enhance sector governance, and drive investment across the electricity value chain.

The approval was granted at the Federal Executive Council (FEC) meeting held on Monday, marking a significant milestone for the Nigerian Electricity Supply Industry (NESI).

This was disclosed by Mr. Bolaji Tunji, Special Adviser on Strategic Communications and Media Relations to the Minister of Power, in a statement issued in Abuja.

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According to Tunji, the NIEP—initially drafted in December 2024 and submitted to President Bola Tinubu—serves as a comprehensive national roadmap, aimed at transforming Nigeria’s struggling power sector in line with global best practices and the provisions of the Electricity Act, 2023.

Implementation Already Underway 

Mr. Adebayo Adelabu, Minister of Power, stated that the implementation of the policy has already commenced, and with the President’s ratification, it is expected to gain momentum. “This roadmap addresses critical challenges in Nigeria’s electricity sector through a comprehensive framework that provides clear guidelines for sustainable power generation, transmission, and distribution,” he said.

The NIEP fulfills the requirement under Section 3(3) of the revised Electricity Act 2023, which mandates the Federal Government, through the Ministry of Power, to publish an integrated national policy and strategic implementation plan within a year of the law’s enactment.

Key Policy Pillars 

Adelabu emphasized that the new policy framework goes beyond mere infrastructure upgrades. It integrates renewable energy adoption, energy efficiency measures, climate resilience, and improved regulatory oversight, setting the stage for a modern and inclusive power sector.

“This NIEP is a detailed roadmap that will guide all stakeholders—federal and state governments, market participants, investors, and citizens—through this period of energy transition,” Adelabu said.

Importantly, the NIEP replaces the National Electric Power Policy of 2001, which has been widely seen as obsolete and incapable of addressing the complexities of Nigeria’s evolving power ecosystem.

Developed Through Stakeholder Collaboration 

The Minister noted that the policy was developed through extensive consultations with a wide range of stakeholders, including public and private sector actors, civil society organisations, academia, donor agencies, development partners, and consumer rights advocates.

He added that the NIEP specifically addresses deep-rooted structural issues such as:

  • Infrastructure deficits
  • Lack of capital investment
  • Regulatory bottlenecks
  • Monopoly structures in distribution and generation

The policy also encourages the growth of State Electricity Markets and supports a decentralized but coordinated energy planning model, allowing sub-national actors to play more active roles in electricity management.

With the NIEP now in place, observers say, Nigeria is expected to witness greater investor confidence, more efficient power delivery, and improved service quality across the country.


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Tags: Adebayo AdelabuNational Integrated Electricity PolicyNigeria's power sector reformsNigerian Electricity Supply Industry
Olalekan Adigun

Olalekan Adigun

Olalekan Adigun is a seasoned political analyst and writer with extensive experience in crafting compelling narratives and executing strategic initiatives. Known for his insightful commentary on governance, policy, and socio-economic issues, he has contributed to various national and international platforms.

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