LASERC identifies TCN, DisCo bottlenecks limiting Lagos electricity supply

The Lagos State Electricity Regulatory Commission (LASERC) has identified bottlenecks between the Transmission Company of Nigeria (TCN) and Distribution Companies (DisCos) that are limiting the amount of electricity that can reach consumers in Lagos.

The commission disclosed this during an on-the-spot monitoring and fact-finding tour of key TCN transmission facilities in Lagos, including the Akangba and Ijora substations.

The visit followed concerns over reports that about 200 megawatts (MW) of electricity could not reach consumers in Lagos.

However, LASERC’s Executive Member, Engineering and Standards, Engr. Adekunle Olapade, told Nairametrics that the fact-finding exercise was aimed at determining whether the constraint was due to TCN’s transmission capacity or the ability of DisCos to take additional electricity.

LASERC finds bottlenecks across power network

Olapade said the commission’s assessment found that both TCN and the DisCos have capacity, but that bottlenecks between the two companies need to be addressed.

• “We came here on a fact-finding mission to determine whether TCN lacks the capacity to deliver the 200 megawatts or if the DisCos are unable to take it. Our findings show that there are a few bottlenecks between the two companies that need to be addressed.”

Olapade said the assessment showed that TCN has the capacity to transmit the required power.

He said the DisCos also have the capacity to take additional electricity.

However, distribution infrastructure and system protection challenges remain constraints to taking more electricity from the transmission network.

TCN had also raised concerns about frequent tripping, particularly during the rainy season.

Distribution infrastructure limits power supply

Olapade said increased investment in distribution infrastructure would be required for Lagos to take more electricity from the transmission network.

• He also identified vandalism and theft of electricity infrastructure as another challenge, calling for greater public sensitisation to protect underground cables and overhead equipment from damage.
• The commission assessed the capacity of the transmission network during its visit to the TCN facilities.
• It also examined the relationship between TCN and DisCos in wheeling electricity to consumers.

Olapade said improvements in DisCos’ infrastructure capacity would enable them to absorb more electricity from the transmission network. He said TCN’s concerns over frequent tripping, particularly during the rainy season, also needed to be addressed.

LASERC expects electricity supply to Lagos residents to improve as stakeholders work together to resolve the bottlenecks across the electricity value chain.

LASERC advances Lagos power sector reforms

The latest assessment comes as the Lagos State Government and LASERC continue to expand electricity market regulation and infrastructure development in the state.

• In May, the Lagos State Government approved 14 electricity licences and permits covering off-grid and embedded generation, independent distribution, metering and mini-grid operations.
• The approvals included a 5.8MW off-grid project by Axxela Limited at Cadbury Nigeria in Agidingbi, multiple off-grid projects by Daybreak Power Solutions, a 9MW embedded generation project by Isolo Power Gen Limited and an independent distribution licence for Isolo Power Supply Limited.
• Earlier in September, LASERC also granted Elektron Energy Development an operational licence for its 40MW Victoria Island Power project.

These approvals form part of the state’s ongoing electricity market activities as LASERC takes on a greater role in regulating and developing the sector.

Lagos targets 24/7 electricity franchise zones

LASERC plans to begin the pilot rollout of 24/7 electricity franchise zones across Lagos by October 2026 as part of its Short-Term Regulatory Agenda.

• The agenda seeks to improve efficiency, innovation and reliability in the state’s electricity market through 2030.
• The regulatory framework for Lagos’ electricity market was strengthened after Governor Babajide Sanwo-Olu approved the constitution of LASERC in 2024 following the signing of the Lagos Electricity Bill 2024 into law.
• The law replaced the 2018 power sector reform law and gave the commission responsibility for regulating electricity generation, distribution and tariffs in the state.

In March 2026, Sanwo-Olu inaugurated LASERC’s board, formally commencing the commission’s operational leadership of electricity market reforms in Lagos.