Adebayo Adelabu
Top Story

Power Sector: Minister Urges Stricter Laws, Increased Funding, DisCo Accountability

1.3k

Power Minister Adebayo Adelabu has canvassed tougher laws to fight the ongoing destruction of Nigeria’s power infrastructure.

At a two-day retreat hosted by the Senate Committee on Power, Adelabu stressed that vandalism, power theft, illegal connections, and unpaid electricity bills should be considered serious crimes, not just civil matters.

“The power sector cannot thrive when critical infrastructure is routinely sabotaged. These are national assets that belong to all Nigerians,” Adelabu stated, calling for a more robust legal framework and heightened public vigilance.

The minister highlighted recent improvements in grid stability, noting that no national grid collapse has occurred in 2025.

He attributed this to concerted efforts and investments made by the Transmission Company of Nigeria (TCN), which installed 61 transformers in 2024 and 13 more in the first four months of 2025—transformers ranging from 10MW to 300MW, worth hundreds of millions of dollars.

Despite these strides, he lamented the persistent vandalism of infrastructure, illegal connections, and meter tampering, warning that these acts continue to undermine sectoral progress.

Adelabu underscored the critical funding challenges facing the TCN, saying:“The company currently relies solely on its internally generated revenue (IGR), which is grossly insufficient. Monthly IGR cannot even cover salaries, let alone maintain or expand the transmission network.”

He advocated the inclusion of TCN in national budget appropriations to ensure sustainable operations.

The minister also decried the chronic underperformance of electricity distribution companies (DisCos), which he described as the weakest link in the electricity value-chain.

“Despite substantial reforms, many DisCos have failed to invest in infrastructure. Their networks are old, electricity theft is rampant, and consumer service is deteriorating.”

According to him, most DisCos failed to sustain partnerships with their supposed technical partners post-privatization, choosing instead to divert resources to servicing acquisition debts rather than investing in service delivery.

Adelabu presented a sobering analysis of DisCo revenue remittances: “In Q4 2024, Northern DisCos remitted only ₦124.4 billion out of ₦408.86 billion billed (30%), with Abuja DisCo alone accounting for 85% of this figure. Southern DisCos performed relatively better, remitting ₦254.6 billion (67%), with Lagos-based DisCos contributing 70% of the remitted amount.

“These discrepancies mirror the disparity in infrastructure quality and investment, especially between economic hubs and underserved areas.”

On metering, he also stressed the importance of closing Nigeria’s metering gap, a major source of revenue leakage and consumer dissatisfaction.

“We launched the ₦700 billion Presidential Metering Initiative (PMI) and a World Bank-supported program targeting 4.3 million new meters by 2025. So far, 75,000 meters were installed in April 2024, with 200,000 more expected in May,” he disclosed.

According to him, the power sector currently faces a ₦4 trillion subsidy backlog, including ₦1.94 trillion for 2024 alone. Monthly shortfalls now exceed ₦200 billion, making the current tariff regime financially unsustainable.

“To avoid a complete breakdown, we must restructure underperforming DisCos and enforce strict performance benchmarks,” Adelabu warned.

“Without capital injection into the distribution segment, gains in generation and transmission will not translate into reliable electricity for Nigerian homes.”

The Minister outlined ongoing initiatives aimed at boosting power supply in Northern Nigeria to include the Makurdi Hydropower Project (1,000MW capacity) under consideration for development, the Revitalization of the Kaduna Thermal Plant, currently 87% complete with a 215MW capacity, after five years of abandonment and the Katsina Wind Farm (10MW installed capacity) under evaluation for concessioning to private investors, following expressions of interest from the Katsina State Government.

Adelabu also proposed regionalizing Nigeria’s transmission network to mitigate systemic risks and attract private investment, noting that performance gaps between regions—particularly Lagos versus the North—are tied to infrastructure disparities.

Leave a comment

Related Articles

Defence Minister Musa Meets with Service Chiefs Behind Closed Doors

In a bid to hit the ground running on assumption of office,...

Tinubu Seeks Senate’s Confirmation of Omokri, Fani-Kayode, Other Ambassadorial Nominees

President Bola Tinubu on Thursday transmitted a fresh batch of 32 ambassadorial...

NASS to FG: Name Terrorism Financiers Now

The National Assembly has called for the public naming and prosecution of...

“Trump Is On Our Neck”: Akpabio Alerts Senate

Senate President Godswill Akpabio openly declared the intense pressure Nigerian leaders and...

Just In: US Slaps Visa Restrictions on Nigerians Linked to Christian Killings

The United States has announced new visa restrictions targeting individuals in Nigeria...

Wike, Fayose, Anyanwu, Others Get PDP’s Expulsion Certificates

The People’s Democratic Party (PDP) announced that it has formally issued certificates...

Tinubu Orders Security Chiefs to Intensify Fight Against Insecurity

President Bola Tinubu has directed Nigeria’s security chiefs to step up efforts...

Breaking: Tinubu Nominates Ex-CDS Christopher Musa as New Defence Minister

President Bola Tinubu has nominated Gen. Christopher Musa, the immediate past Chief...

Breaking: Nigeria’s Defence Minister Quits

Nigeria’s Minister of Defence, Mohammed Badaru Abubakar, has resigned from his position,...

Just In: Insecurity : Northern Govs, Emirs Converge in Kaduna for Meeting

Northern governors and traditional rulers have gathered for an urgent meeting at...

Just In: Abia Gov. Otti Meets Detained Kinsman Nnamdi Kanu in Sokoto Prison

Abia State Governor Alex Otti has visited the detained leader of the...

Presidency Vows to Unmask Terrorism Financiers in Nigeria

President Bola Tinubu’s administration is poised to reveal the identities of those...

California’s Stockton Shooting: 3 Kids Among 4 Fatally Shot at Birthday Bash

Three children were among four people who died in a mass shooting...

Gunmen Attack Kogi Church During Sunday Service, Whisk Away Pastor, Wife, Worshippers

Gunmen have struck again, this time targeting the Cherubim and Seraphim Church...

Breaking: Pres. Tinubu Nominates 32 More Ambassadors

President Bola Tinubu has forwarded 32 additional ambassadorial nominees to the Senate...

Tinubu Hails Nigeria’s Return to Global Maritime Stage After 14-Year Hiatus

Nigeria’s re-election to the Council of the International Maritime Organisation (IMO) is...

Tinubu Launches National Tax Policy Implementation Committee

President Bola Tinubu has established the National Tax Policy Implementation Committee (NTPIC)...

Updated: Jonathan Back in Abuja After Dramatic Evacuation from Guinea-Bissau

Former Nigerian President Goodluck Jonathan has safely returned to Abuja after being...

Just In: Bandits Strike Again in Niger: 24 Kidnapped, Blind Man’s Hand Cut Off

A renewed wave of banditry in Niger State’s Erena Local Government Area...