The All Progressives Congress (APC) Presidential Campaign Council has acknowledged that Nigeria's electricity crisis remains unresolved, despite efforts by President Bola Tinubu's administration to address the issue. According to the council's spokesperson, Dele Alake, the government is working to resolve structural and commercial challenges in the power sector while ensuring affordable electricity for Nigerians. Alake made these remarks in response to criticism of Tinubu's 2023 campaign promise to end estimated billing and provide stable electricity supply.
Tinubu had promised to fix the electricity market and end estimated billing, challenging Nigerians to deny him a second term if he failed to fulfill the promise. Alake argued that public commentary on the pledge had ignored the concluding part of Tinubu's statement, in which he undertook to explain any failure to deliver before seeking another mandate. Alake urged Nigerians to assess the administration's performance based on improvements in electricity supply, metering, infrastructure, and stability in the electricity market.
The administration has implemented several reforms and interventions in the power sector, including the signing of the Electricity Act, 2023, which liberalized the sector and allowed state governments to participate in electricity generation, transmission, and distribution. Seven states have established their own electricity regulatory agencies and attracted private investment. Additionally, the administration inherited over N6 trillion in accumulated legacy debts in the power sector and established a N4 trillion bond program to settle verified debts owed to electricity generation companies and gas suppliers.
The Presidential Metering Initiative was introduced to address a deficit of over seven million meters, with over 1.5 million electricity customers metered in the last three years. The administration has also implemented tariff reforms, invested in substations and grid expansion, and provided solar electricity to universities, hospitals, and rural communities through the Rural Electrification Agency. Furthermore, the President reviewed the Presidential Power Initiative inherited from the previous administration and signed an acceleration agreement with German partners in December 2023.
The Federal Executive Council approved the first batch of contracts in December 2024 for the upgrade of five Transmission Company of Nigeria substations in major electricity load centers. The projects are nearing completion and are expected to be commissioned before the end of Tinubu's first term. The council also approved another batch of projects in June 2026 for the construction of eight new substations and the upgrade of four existing ones. Plans are underway to modernize the over 60-year-old Osogbo Grid Control Centre and construct an East-West super grid.
The administration's tariff policy includes service-based tariff bands aimed at improving the financial viability of electricity distribution companies and reducing the government's subsidy burden. However, Alake acknowledged the challenge of ensuring affordable electricity while operators charge tariffs that reflect the cost of production and distribution. The administration will continue to explore ways to improve the commercial viability of the power sector while protecting low-income households.
Tinubu's administration remains committed to its electricity campaign promise, and Alake stated that the President will present his administration's scorecard, including outstanding challenges, to Nigerians as he seeks a second term. The APC spokesperson emphasized that fixing the electricity market and power sector is an ongoing process, and the administration is working to address the complex challenges in the sector.
Key points
- President Tinubu's administration has made progress in the power sector, including the implementation of reforms and infrastructure development.
- The administration has introduced initiatives to address the metering deficit and improve electricity supply.
- Challenges persist in ensuring affordable electricity and addressing the country's electricity crisis.
