Nigeria’s federal government has announced fresh measures to address persistent gas shortages undermining electricity generation, as power supply continues to fluctuate across the country.
The Minister of Power, Adebayo Adelabu, disclosed this in Abuja, stating that targeted interventions are already underway to stabilise gas supply to thermal power plants.
For years, Nigerians have faced erratic electricity supply, largely due to insufficient gas supply to power plants, which account for the bulk of the nation’s electricity generation.
Industry data indicates that up to 68 per cent of power plants have been unable to operate optimally because of gas shortages and payment disputes across the energy value chain. This has led to frequent drops in generation levels and ongoing grid instability.
Adelabu explained that current reforms are focused on improving coordination between the gas and power sectors, describing the synergy as essential to unlocking Nigeria’s full generation capacity.
He also linked the sector’s challenges to broader structural reforms being pursued under the administration of Bola Ahmed Tinubu.
“Concrete measures are being implemented to ensure more reliable and sustainable electricity for homes, businesses, and industries. The reforms initiated by President Tinubu are beginning to take root, and Nigerians will soon witness the full benefits,” Adelabu said.
As part of efforts to address financial constraints in the sector, the federal government is exploring mechanisms to clear longstanding debts, including a proposed multi-trillion naira bond programme aimed at settling arrears owed to generation companies and gas suppliers.
The intervention, estimated at up to N4 trillion, is expected to restore liquidity in the sector. However, it has also sparked concerns about rising public debt linked to debt-restructuring strategies.
Meanwhile, power generation companies have challenged some of the reported debt figures, arguing that they do not accurately reflect outstanding obligations.
Despite having an installed electricity capacity of over 13,000 megawatts, Nigeria continues to generate far below demand, underscoring the urgency of resolving gas supply constraints and financial bottlenecks in the power sector.
