Minister of Power, Adebayo Adelabu has disclosed that the power sector recorded a inflow of over $2 billion in new investments.
The Minister who attributed the growth to the sweeping reforms enabled by the Electricity Act 2023 made this disclosure on Thursday in Lagos while delivering the keynote address at PwC’s Annual Power and Utilities Roundtable 2025, themed “Nigeria’s Multi-Tier Electricity Market: Imperatives for Successful Evolution.”
Adelabu noted that the substantial capital injection reflects growing investor confidence in the administration’s policy direction, particularly the historic transition from a centralised, monolithic market to a dynamic, multi-tier system.
This decentralised structure, which empowers states to develop and regulate their own electricity markets, is already yielding results.
The Minister cited Enugu and Lagos as early adopters whose subnational market models are unlocking new opportunities and providing the clarity and competition that investors seek.
Beyond capital inflows, Adelabu highlighted significant operational and financial milestones achieved under President Bola Ahmed Tinubu’s leadership.
He revealed that the sector recorded a 70 percent surge in revenue in 2024, alongside a N700 billion reduction in government subsidy liabilities.
These figures, he explained, signal the beginning of a successful transition toward the full commercialisation of the Nigerian electricity market.
On the technical front, the Minister announced a major breakthrough with the first-ever successful synchronisation of the Nigerian grid with the West African Power Pool (WAPP). The synchronisation, which was sustained for over four hours, links Nigeria with 14 West African countries.
Adelabu described this as a remarkable milestone that not only strengthens Nigeria’s grid stability but also expands its regional energy influence toward a fully integrated market.
Addressing the nation’s metering deficit, Adelabu confirmed the commencement of procurement for millions of new meters under the Presidential Metering Initiative (PMI).
He disclosed that the initiative is backed by a N700 billion mobilisation from the Federation Account Allocation Committee (FAAC) and complemented by a $500 million World Bank DISREP fund.
While acknowledging persistent challenges such as regulatory overlaps between national and state bodies, aging infrastructure, and liquidity constraints, the Minister assured stakeholders that the Ministry is tackling these issues through tighter coordination and deeper public-private partnerships.
He concluded by stressing that Nigeria’s shift to a multi-tier electricity market is not optional but a necessity, urging stakeholders to embrace bold solutions to deliver an inclusive and investment-ready power sector.