. Seeks $17b private investment, $500m boost for local solar manufacturing
The Minister of Power, Chief Adebayo Adelabu, has revealed that it will take Nigeria at least five years to install the seven million meters required to close the country’s wide metering gap, attributing the slow progress to the shortage of certified installers and weak technical capacity within the power distribution network.
Speaking at the Nigeria Energy Exhibition and Conference in Lagos, Adelabu disclosed that out of the 500,000 meters already deployed to electricity distribution companies (DisCos), only about 100,000 have been installed thus far.
The minister expressed concern that the prolonged metering deficit has worsened inefficiencies across the electricity value chain, while also sustaining the controversial estimated billing system that has eroded consumers’ confidence in the sector.
“We brought in meters last month, over 500,000 meters. I’m telling you, we have not installed 100,000. Why? Access to installers! And we say youths are unemployed. We don’t have meter installers in Nigeria.
“If we bring all the seven million meters, that is, the gap in the sector today, it will take us five years to install it. So, we need to train technicians, and mentors need to certify installers. And just as an example, in the sector, there are so many activities that are lacking human capacity,” he said.
He warned that unless the issue of manpower and technical training is urgently addressed, the government’s efforts through various metering programmes, including the National Mass Metering Programme (NMMP) and the Meter Asset Financing (MAF) scheme, would continue to suffer setbacks.
According to him, Nigeria requires about $17 billion in private investment to expand and modernise its power infrastructure, including generation, transmission and distribution networks.
He explained that while government funding remained limited, encouraging private participation is crucial to drive large-scale energy projects, bridge infrastructure gaps, and unlock renewable energy potential nationwide.
“And we said we will be requiring about $32 billion invested, out of which the government can only provide about $15 billion. We are looking at $17 billion from private investors. A useful reference is South Africa, they have an ambitious $25 billion transmission grid expansion initiative with less than 60 million. Nigeria has over 200 million. And when we talk about the Siemens project, it is just $2.3 billion.
“South Africa has less than 60 million, and there is a plan of $25 billion to expand their transmission grid, and it seeks private developers to deliver 14,000 kilometres of new power lines, in addition to the existing, and this would bring up over 59 gigawatts (59,000 megawatts). That’s 10 times what we currently transmit,” he said.
The minister further revealed that about $500 million would be required to strengthen local solar panel manufacturing, enhance technology transfer, and boost domestic production. He noted that with the right investment, Nigeria could significantly reduce import dependence, lower the cost of solar deployment, and create new industrial jobs.
He further criticised the performance of electricity distribution companies (DisCos), describing them as underfunded, incapacitated, and lacking the technical and managerial expertise required to efficiently operate within a modernised energy market.
He explained that most of the distribution companies are struggling with serious liquidity constraints and huge debt overhang, which have limited their ability to upgrade equipment, expand networks, and deliver stable electricity to customers.
Adelabu also lamented the fragility of the national grid, admitting that the network remains weak, unstable, and unable to support Nigeria’s growing electricity demand. He said that the absence of a fully functional Supervisory Control and Data Acquisition (SCADA) system, which provides real-time monitoring and automation for the grid, continues to expose the system to frequent disturbances and nationwide outages.
“The national grid today is being operated manually because we do not yet have a complete SCADA system in place. Until we complete that project, we will continue to experience disturbances.”
He explained that Nigeria’s grid, designed for centralised control, is overstretched and lacks the real-time visibility needed to manage generation and distribution effectively. According to him, the SCADA system remains one of the most critical infrastructure projects for the Transmission Company of Nigeria (TCN), as it will enable better load management, fault detection, and system stability.
On his part, Lagos State Governor, Babajide Sanwo-Olu, said the decentralisation of Nigeria’s power sector will play a critical role in achieving reliable, affordable and sustainable electricity across the state.
Represented by the Commissioner for Energy and Mineral Resources, Biodun Ogunleye, the governor said the state’s recently passed Lagos State Energy Law 2024 had positioned it as a leader in energy reform and market liberalisation.
According to him, “Reliable, affordable and sustainable energy is not a luxury. It is a fundamental building block for economic growth, social progress, job creation and our competitiveness on the global stage.”
