Electricity: How 4 Nigerian Presidents Reportedly Kept Nigeria in Darkness After Spending 7 Trillion
- Nigeria spent about ₦7 trillion on electricity after privatisation but supply remained unstable
- Successive administrations launched reforms and projects that failed to deliver reliable generation
- Experts including Kunle Olubiyo, President of Nigeria Consumer Protection Network, blamed partial privatisation, corruption and weak political will
Nigeria has spent an estimated ₦7 trillion on the power sector since its privatisation in 2013, yet millions of citizens continue to endure erratic electricity supply and repeated national grid collapses.
Despite successive reforms and heavy public borrowing under four administrations, the country has remained far from achieving stable and reliable power.
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In January 2026 alone, major cities were plunged into darkness twice following nationwide grid failures, reigniting debate over decades of spending and unfulfilled promises.
Although Nigeria’s electricity challenges predate the return to democracy in 1999, expectations were high that liberalisation and private investment would revive the sector and meet the needs of Africa’s most populous nation.
Privatisation raised hopes but fell short
The Electric Power Sector Reform Act of 2005 laid the foundation for reform, transforming the defunct National Electric Power Authority (NEPA) into the Power Holding Company of Nigeria (PHCN), made up of 18 successor companies.
These included six generation companies (GenCos), one transmission company and 11 distribution companies (DisCos). In 2013, PHCN was fully unbundled and its assets transferred to private investors in what was expected to usher in efficiency and growth, Daily Trust reported.
However, more than a decade later, generation has at times dropped as low as 1,800 megawatts, while transmission and distribution networks have struggled with obsolete infrastructure and weak capacity.
Promises across four administrations
Every administration since 1999 has declared power sector reform a priority, recognising electricity as vital to economic growth.
Under President Olusegun Obasanjo, the late Chief Bola Ige, Nigeria’s first Minister of Power, pledged in 1999 to make power outages “a thing of the past” within six months. That promise was never realised, and grid collapses became more frequent.
Subsequent ministers, including Dr Segun Agagu, Dr Olu Agunloye and Senator Liyel Imoke, introduced ambitious plans such as the National Integrated Power Projects and the Mambilla Hydropower Project. Many of these initiatives were later mired in delays, allegations of corruption and weak coordination, Vanguard reported.
During President Umaru Musa Yar’Adua’s tenure, power generation targets of 6,000 megawatts by 2009 were missed due to gas shortages and poor maintenance.
Jonathan, Buhari and Tinubu years
President Goodluck Jonathan oversaw the privatisation of the power sector, with then Minister of Power, Prof. Barth Nnaji, assuring Nigerians that private ownership would deliver stable electricity. Instead, the process was criticised as rushed, leaving under-capitalised operators and a deep liquidity crisis.
Source: Twitter
Under President Muhammadu Buhari, billions of dollars were borrowed to upgrade transmission infrastructure, while the 2018 Siemens power deal promised to expand capacity to 25,000 megawatts by 2025. The project has achieved only a fraction of its target.
Former Minister of Power, Saleh Mamman, later faced corruption charges linked to power projects, while structural challenges persisted despite changes in leadership.
President Bola Ahmed Tinubu, who took office in 2023, pledged to prioritise constant electricity supply, warning during his campaign that he should not be re-elected if he failed.
His administration is currently supervising a $500 million World Bank-backed Distribution Sector Recovery Programme (DISREP), even as GenCos demand payment of over ₦4 trillion in outstanding debts.
Experts blame partial privatisation and corruption
Industry experts have pointed to structural flaws in the reform process. President of the Nigeria Consumer Protection Network, Kunle Olubiyo, said Nigeria’s mistake was failing to fully privatise the entire electricity value chain.
“The federal and state governments still hold about 40 per cent stakes in the DisCos and own the transmission company outright. That is why subsidies have continued,” he said.
Olubiyo warned that without full privatisation and strict performance monitoring, “even if you invest $1 trillion, the results will be the same”.
Similarly, energy consultant Bode Fadipe argued that weak political will and policy inconsistency have undermined reforms.
“We have moved one step forward and several steps backward since privatisation. Some investors are only milking government interventions rather than fixing the system," he said.
Nigerians feel the impact daily
For many citizens, grid collapses translate into real economic losses. Ahmad Ibrahim, a resident of Abuja, said even short blackouts often take hours to resolve locally.
“Electricity flickers in a way that damages appliances. It is frustrating that such a basic service remains unreliable,” he said.
Tailor Sodiq Omolaoye said erratic supply in Lugbe, Abuja, affected his ability to meet customer deadlines.
“Electricity is not a luxury; it is essential for our livelihoods,” he said.
Calls for structural overhaul
Former Managing Director of the Transmission Company of Nigeria, Aliyu Tambuwal, said grid stability could only improve if government ensured adequate reserves and discipline across the value chain.
“We need spinning reserves, gas security and strict adherence to load allocations,” he said.
Experts have also called for modern technology, off-grid solutions and stronger state-level participation under the Electricity Act 2023.
Despite trillions of naira spent and repeated reforms, analysts agree that Nigeria’s power crisis remains largely unresolved, raising hard questions about accountability, governance and the future direction of the sector.
FG proposes N30bn for Solar mini-grids
Legit.ng earlier reported that the federal government has proposed spending about N30.34 billion on solar mini-grids, inverters and related renewable energy solutions for ministries, departments and agencies (MDAs) in the 2026 budget.
According to an analysis of the proposed budget, the funds are meant to provide alternative power for government facilities, schools and some communities across the country, as Nigeria continues to face frequent power outages and repeated collapses of the national electricity grid.
Source: Legit.ng
