Friday, July 4, 2025
  • About
  • Advertise
  • Careers
  • Contact
Newsroom Nigeria
  • Home
  • News
    • Across the Nation
    • Crime Watch
    • Metro
    • Political Arena
  • Politics
  • Opinions
  • Crime and Court
    • Judiciary
  • Business
    • Banking
    • Business and Economy
    • Business Life
No Result
View All Result
Newsroom Nigeria
Home BUSINESS LIFE

POWER SECTOR PRIVATISATION HAS FAILED – TINUBU

The national grid only serves about 15 per cent of the country’s demand. This has left households and factories relying on expensive self-generation, which supplies 40 per cent of the country’s demand.

Newsroom Nigeria by Newsroom Nigeria
November 1, 2023
in BUSINESS LIFE, News
Reading Time: 2 mins read
0
SHARES
Share on FacebookShare on Twitter

President Tinubu, on Monday, said Nigeria’s power sector privatisation had failed to meet its objectives, as the national grid was serving only about 15 per cent of the country’s electricity demand despite being privatised 10 years ago.
Tinubu canvasses N2tn Discos’ recapitalisation, tariff review.

Tinubu, who spoke during the Nigeria Electricity Supply Industry market participants and stakeholder roundtable that focused on privatisation, also called for the recapitalisation of power distribution companies.

Related posts

BREAKING: Nigerian Goalkeeping Legend,  Peter Rufai is Dead

BREAKING: Nigerian Goalkeeping Legend,  Peter Rufai is Dead

July 3, 2025
Don’t Break the Law, Tinubu Counsels Nigerians in Saint Lucia 

Don’t Break the Law, Tinubu Counsels Nigerians in Saint Lucia 

July 3, 2025

Represented by the Special Adviser, Energy and Infrastructure, Office of the Vice President, Sodiq Wanka, the President said, “10 years on, I believe it is fair to say that the objectives of sector privatisation have, by and large, not been met. Over 90 million Nigerians lack access to electricity.

“The national grid only serves about 15 per cent of the country’s demand. This has left households and factories relying on expensive self-generation, which supplies 40 per cent of the country’s demand.

“What is worse is that the total amount of electricity that can be wheeled through the national grid has remained relatively flat in the last 10 years. The grid capacity has increased from just over 3,000MW to roughly 4,000MW today. Versus a 40,000MW target by 2020 that the Federal Government had set pre-privatisation.”

The President stated that the reasons for the sector’s underperformance in the last decade were well known, including deep commercial, governance and operational issues that had beleaguered the sector.

“As of Q2 2023, for every kWh (kilowatt-hour) of electricity sent to the grid, only 60 per cent is paid for. But as we know, even the tariff paid for that unit of electricity is far from being cost-reflective, especially in light of the recent devaluation of the naira.

“The sector has suffered chronic underinvestment, especially in transmission and distribution. Many of the successor utilities of the PHCN have failed to meet their performance improvement targets due to technical and financial capacity issues.

“We are in a vicious cycle of under-performance and under-investment, and everyone has a different view of which value chain player should be blamed for continued sector malaise.

“But we are where we are! And the real question we should ask ourselves in our engagements in the next three days is, how do we move forward from here?”.

He noted that in the short term, stakeholders in the sector must intensify efforts to address commercial issues and improve the investment attractiveness of the sector.

He said the sector should have a clear plan to rebase tariffs to recognise the actual costs and loss levels of the entire value chain and allow for adequate investment cost recovery.

“We must be clear on shortfalls and how we will finance them. And there must be a clear path to extinguishing historic sector debts to various value chain stakeholders. A reconciliation exercise in this regard is already underway,” the President stated.

ShareTweetSendShareShare
Previous Post

PERFORM OR LEAVE: TINUBU TELLS MINISTERS AT RETREAT 

Next Post

RIVERS CRISIS: PDP GOVERNORS IN CLOSE DOOR MEETING WITH WIKE

Related Posts

BREAKING: Nigerian Goalkeeping Legend,  Peter Rufai is Dead
News

BREAKING: Nigerian Goalkeeping Legend,  Peter Rufai is Dead

July 3, 2025
Don’t Break the Law, Tinubu Counsels Nigerians in Saint Lucia 
News

Don’t Break the Law, Tinubu Counsels Nigerians in Saint Lucia 

July 3, 2025
Court Orders Final Forfeiture of Truck, Consignment of Solid Minerals  
Crime Watch

Court Orders Final Forfeiture of Truck, Consignment of Solid Minerals  

July 2, 2025
Oyo  Offers Subsidized Transport Scheme for Varsity Students
Education/Human Capital

Oyo  Offers Subsidized Transport Scheme for Varsity Students

July 2, 2025
Fidelity Bank Extends Relief Efforts to Eti-Osa Community with Food Bank Initiative
BANKING

Fidelity Bank Extends Relief Efforts to Eti-Osa Community with Food Bank Initiative

July 2, 2025
Julius Berger Reaffirms Resilience and Long-Term Value at 2025 Investors Forum
Business and Economy

Julius Berger Reaffirms Resilience and Long-Term Value at 2025 Investors Forum

July 1, 2025
Next Post

RIVERS CRISIS: PDP GOVERNORS IN CLOSE DOOR MEETING WITH WIKE

RECOMMENDED NEWS

ARMY REVEALS IDENTITY OF BEHEADED SOLDIERS, ACUSSES IPOB OF TERRORISING IGBOS

3 years ago

EFCC’s Fresh Charges Link Emefiele to Four Lagos Registered Companies 

1 year ago

Nigeria Quality Summit 2023: Adebayo Advocates More competitiveness Among Nigerian Businesses

2 years ago

VIEWPOINT: REVISIONIST NARRATIVES ON THE ABORTED IMMORTALISATION OF PROF. HUMPHREY NWOSU, BY Richard Akinnola

3 months ago

FOLLOW US

ADVERTISEMENT
ADVERTISEMENT

POPULAR NEWS

  • BREAKING: Nigerian Goalkeeping Legend,  Peter Rufai is Dead

    BREAKING: Nigerian Goalkeeping Legend,  Peter Rufai is Dead

    0 shares
    Share 0 Tweet 0
  • Ex-int’l Football Player, 4 Others Arrested Over 22.6kg Cocaine, Meth seized at Airport

    0 shares
    Share 0 Tweet 0
  • Viewpoint: Kola Abiola, Sule Lamido and Their June 12 Lies By Adewale Adeoye

    0 shares
    Share 0 Tweet 0
  • Presidency Clarifies President Tinubu State’s Visit to Saint Lucia

    0 shares
    Share 0 Tweet 0
  • Court Orders Final Forfeiture of Truck, Consignment of Solid Minerals  

    0 shares
    Share 0 Tweet 0
Newsroom Nigeria

The NEWSROOM NIGERIA is an independent, liberal on – line news platform committed to the right of the individual to pursue his economic happiness, without undue interference of the state. It shall promote the rights of the individual; right to freedom of worship and conscience, and to hold opinions and impact same without hindrance, subject to such laws are as consistent with the constitution and necessary for the protection of the rights of others.

  • About
  • Advertise
  • Careers
  • Contact

© 2025 Newsroom Nigeria - Designed by Semasir Connect.

No Result
View All Result
  • Home
  • News
    • Across the Nation
    • Crime Watch
    • Metro
    • Political Arena
  • Politics
  • Opinions
  • Crime and Court
    • Judiciary
  • Business
    • Banking
    • Business and Economy
    • Business Life

© 2025 Newsroom Nigeria - Designed by Semasir Connect.