Lagos: A power expert, Dr. Olukayode Akinrolabu, says early improvements in grid stability in 2025 present an opportunity for Nigeria to fix long-standing power sector challenges. He said this in an interview with News Agency of Nigeria (NAN) on the performance of the power sector in 2025.
According to News Agency of Nigeria, Akinrolabu, who chairs the Customer Consultative Forum for Festac and Satellite Town, stated that these improvements could be achieved if recent tariff reforms are backed by smarter implementation and operational discipline. He emphasized the importance of leveraging the renewed stability to strengthen revenue across the electricity value chain and restore confidence among consumers and investors.
He noted that the national grid recorded no system disturbance in the first quarter of the year, marking a notable improvement compared to previous years. However, he warned that frequency stability remained a concern, with daily system frequencies still operating outside acceptable limits. A
kinrolabu pointed out that peak generation constraints and recurring load rejection continue to undermine supply consistency.
Akinrolabu highlighted that recent electricity tariff adjustments aim to improve revenue sustainability, but stressed that tariffs alone will not resolve deep-rooted sectoral problems without accurate customer network mapping and effective consumption tracking. He identified inadequate metering as a major efficiency challenge, noting that only 46.98 percent of customers were metered, leaving millions on estimated billing, which fuels disputes and erodes trust.
The expert disclosed that average collection efficiency across Distribution Companies (DisCos) stands at 74.39 percent, with some operators performing far below expectations. He attributed revenue leakages partly to internal sabotage and weak customer data systems. Akinrolabu also noted that Aggregate Technical, Commercial, and Collection (ATC and C) losses remain high at 39.61 percent, well above the regulatory target of 20.54
percent, underscoring the need for urgent operational reforms within DisCos.
On the generation front, Akinrolabu mentioned that Nigeria’s heavy dependence on gas continues to constrain output, as most plants operate below 50 percent capacity due to supply shortages, pricing issues, and pipeline vandalism. He also pointed to aging transmission infrastructure, weak regulatory enforcement, and limited investment as factors slowing sector-wide progress.
To consolidate recent gains, Akinrolabu called for reforms including a review of gas pricing to attract investment, expansion of gas infrastructure, improved pipeline security, settlement of outstanding gas debts, and mandatory customer network mapping by DisCos. While commending the intent behind tariff adjustments, he stressed that effective execution would determine their success. ‘Without proper customer network mapping and consumption tracking, tariff adjustments alone may not translate into improved revenue or better service delivery,’ he said.