The Lagos State Government has announced plans to review private investment opportunities and private sector participation in the electricity market in November. This move is part of the government's efforts to assess progress under the Lagos State Electricity Law 2024. The review will be conducted ahead of the second Lagos Energy Summit, scheduled for November 10 and 11, 2026, in Victoria Island, Lagos.
The Lagos Energy Summit was initially planned for September but was postponed to November to allow for further preparations. The meeting will focus on the impact of the Lagos State Electricity Law 2024 on private investment in the power sector. Discussions will also cover renewable energy, electricity infrastructure, and decentralised power generation. The summit aims to create opportunities for partnerships and investment across the power sector.
The Commissioner for Energy and Mineral Resources, Biodun Ogunleye, stated that the summit would review progress since the electricity law was introduced and attract investments to improve electricity generation, transmission, and distribution in Lagos. Several private companies are currently developing power projects across Lagos, including Fenchurch Power Limited, which is rebuilding the 26MW Akute Independent Power Plant under a concession agreement with the Lagos State Government.
The Akute project is part of wider agreements signed by the Lagos government with Mainland Power, Fenchurch Power, and Viathan Engineering in April. These agreements aim to increase electricity generation in Lagos from less than 60MW to between 200MW and 400MW within the next two to three years. Work on the Akute project began in September, with 10MW expected to be available within four months and the remaining 16MW within 12 months.
Other private power projects are also underway in Lagos. Elektron Energy Development received an operational licence in September for its 40MW Victoria Island Power project, which is expected to begin commercial operations in December. The project will supply businesses through a dedicated distribution network. Additionally, Sahara Power Enterprises Group started construction in August on a 12MW independent power plant in Ogba, reportedly worth $12 million.
Private investment is also growing in off-grid power, embedded generation, private electricity distribution, and mini grids. In May, the Lagos State Electricity Regulatory Commission approved 14 licences and permits covering different areas of the electricity market. The proposed projects include dedicated electricity supply for critical infrastructure, industrial and commercial customers, private distribution networks, and decentralised power generation.
The Lagos State Electricity Regulatory Commission is also considering applications for proposed 10MW, 24MW, 30MW, and 50MW power projects in various locations. The commission's efforts aim to increase private sector participation and improve electricity generation, transmission, and distribution in Lagos. The government is optimistic that the summit and review will help attract investments and drive growth in the power sector.
Key points
- Lagos reviews private investment opportunities and private sector participation in electricity market
- The Lagos Energy Summit to focus on impact of Lagos State Electricity Law 2024
- Private power projects underway to increase electricity generation in Lagos
