Ikeja Electric, the electricity distribution company responsible for power supply in parts of Lagos, has said residents and businesses are experiencing persistent power outages due to a nationwide drop in electricity generation.
The company disclosed this on Tuesday through its Head of Corporate Communications, Kingsley Okotie, in an interview with the News Agency of Nigeria.
It noted that the drop in generation has significantly reduced electricity allocation to distribution companies, worsening supply conditions and affecting economic activities across its coverage areas.
What they are saying
Power distribution companies say the current outages are driven by reduced electricity generation at the national level, largely due to gas supply constraints.
- “The ongoing reduction in electricity supply is largely due to a nationwide drop in power generation, caused by limited gas supply to thermal power plants.
- “This has significantly reduced the energy available on the national grid and, consequently, the allocation to Ikeja Electric and other distribution companies,” he said.
He added that the company is working to manage the limited supply as fairly as possible while appealing for customer patience.
“The management regrets the inconvenience caused and appreciates the patience and understanding of our customers during this period.
More insights
The impact of the outages is being felt across households and businesses, with many struggling to cope with rising energy costs.
In interviews conducted by NAN, several residents and business owners described the situation as increasingly unsustainable.
Beyond immediate supply disruptions, structural challenges in Nigeria’s power sector continue to worsen the situation.
Power generation companies (GenCos) are currently burdened by an estimated N6.8 trillion debt, which has accumulated since 2015 and is increasing by about N200 billion monthly. This has constrained their ability to maintain infrastructure, procure gas, and meet operational costs.
Industry data also shows that about 60% of payments owed within the value chain remain unpaid, creating liquidity challenges that ripple through gas suppliers and transporters.
With gas-fired plants accounting for nearly 70% of Nigeria’s electricity generation, reluctance by gas suppliers to continue deliveries without guaranteed payments is further deepening supply disruptions nationwide.
What you should know
Earlier on Tuesday, Nairametrics reported that the Federal Government is moving to address persistent gas shortages affecting electricity generation.
According to the Minister of Power, Adebayo Adelabu, targeted interventions are already being implemented to stabilise gas supply to thermal power plants.
- “Concrete measures are being implemented to ensure more reliable and sustainable electricity for homes, businesses, and industries. The reforms initiated by President Tinubu are beginning to take root, and Nigerians will soon witness the full benefits,” he said.
The government is also exploring financial solutions to resolve long-standing debts in the power sector, including a proposed multi-trillion naira bond programme aimed at clearing arrears owed to GenCos and gas suppliers.
These efforts are expected to improve liquidity across the energy value chain and, ultimately, stabilise electricity supply across the country.
