Isolo Power Gen Limited has secured approval to develop a 9MW embedded power generation project in Lagos State under the latest licensing round issued by the Lagos State Electricity Regulatory Commission.
The company emerged as the only operator approved under the embedded generation category among the 14 licensees recently cleared by the commission.
The project, located along 110/114 Apapa-Oshodi Expressway in Isolo, Lagos, is expected to supply electricity directly to Isolo and surrounding communities through a localised distribution network designed to improve power reliability for residential and industrial users.
If completed successfully, the development could provide residents and businesses in the affected areas with near round-the-clock electricity supply.
The embedded generation framework allows electricity to be produced and distributed within a defined local network, helping reduce pressure on the national grid while improving supply stability for host communities.
According to regulatory documents reviewed by Nairametrics, the project will operate at a 9MW capacity and will serve adjoining areas through a decentralised electricity distribution model.
Ownership of the company includes Westfield Assets Limited, Camara Exim Limited, Chellarams Plc, and Suresh Chellaram.
Findings also revealed that more than 40 additional power applications are currently undergoing approval processes under embedded generation, captive power, and mini-grid categories in Lagos State.
Some of the major pending embedded generation projects include Alaro Power Free Zone Enterprise with a proposed 10MW facility in Epe, Takwa Bay Green Power Free Zone Enterprise planning a 24MW project in Apapa, Geogrid Lightech Ltd with a proposed 30MW project in Agidingbi, and Irele Energy LFZ Enterprise developing a 50MW facility in Ibeju-Lekki.
The growing number of applications reflects increasing investor interest in decentralised electricity solutions, especially for industrial hubs and commercial clusters across Lagos.
The Lagos State Electricity Regulatory Commission was established under the Lagos Electricity Bill 2024, which replaced the state’s 2018 electricity reform law and created an independent electricity market for Lagos State.
In March 2026, Babajide Sanwo-Olu inaugurated the LASERC board, officially activating the commission’s oversight powers over electricity generation, distribution, and tariffs within the state.
The regulatory framework followed the 2023 constitutional electricity reform that granted Nigerian states the authority to regulate and operate independent electricity markets.
Supporting institutions established under the reform include the Lagos State Electrification Agency, Lagos Electrification Fund, an Independent System Operator, and a Power Enforcement Unit.
Separately, Lagos State recently signed multiple Power Purchase Agreements with private developers as part of efforts to increase electricity generation capacity from below 60MW to between 200MW and 400MW.
The state government is also pursuing metered electricity delivery systems and dual power infrastructure for critical facilities as part of broader energy sector reforms.
