Decentralization Key to Solving Nigeria’s Power Grid Challenges 

Frequent power grid collapses in Nigeria continue to disrupt economic activities and public services, highlighting the urgent need for sustainable solutions.  

Energy experts and policymakers have pointed to decentralization as a viable path forward, with recent legislative and regulatory advancements offering hope for significant progress. 

According to Wumi Iledare, Professor Emeritus of Energy Studies at Louisiana State University, the recurring power outages often labeled as “collapses” are more accurately described as “trips.” These incidents occur when the grid infrastructure is overwhelmed by excessive demand or supply surges. 

“Because everything is centralized, you’ll have a problem when you inject a lot of loads on that line and a lot of demand. 

“Every time the line is overloaded, there is an instrument there that will literally just shut it out.” 

Wumi Iledare, Professor Emeritus of Energy Studies at Louisiana State University

Prof. Iledare compared the phenomenon to a household electrical system where overloading triggers circuit breakers.  

He emphasized that while generating electricity is crucial, the real challenge lies in efficiently evacuating power to end-users through transmission and distribution systems. 

Prof. Iledare argued that decentralizing Nigeria’s power grid is a critical step toward resolving the persistent issues of grid trips and collapses. 

“Decentralization [of the grids] is the key to resolving the collapse or the tripping of the electric distribution and transmission line. And we must not be afraid to decentralize.” 

Wumi Iledare, Professor Emeritus of Energy Studies at Louisiana State University

The Electricity Act 2023, which empowers Nigerian states to regulate their electricity markets independently, has been hailed as a game-changer in this regard.  

Already, the Nigerian Electricity Regulatory Commission (NERC) has transferred regulatory oversight to 10 states, signaling progress in decentralizing the power sector. 

The Federal Government’s passage of the Electricity Act 2023 represents a significant step toward addressing the grid’s vulnerabilities.  

The Nigerian Electricity Regulatory Commission (NERC) has already completed the transfer of regulatory powers in four states—Enugu, Ekiti, Ondo, and Imo.  

The process is still underway in six other states, including Lagos, Ogun, Oyo, Edo, Kogi, and Niger. 

Industry experts have welcomed this development, noting that empowering states to oversee their electricity markets can reduce bottlenecks, foster competition, and encourage investment in localized energy solutions. 

Government’s Acknowledgment of Challenges 

During the 2025 budget defense session with the Senate Joint Committee on Power on Monday, Minister of Power Adebayo Adelabu acknowledged the fragile state of the national electricity grid. 

Adelabu identified the inability to repair a critical transmission line in northern Nigeria due to security challenges as a major factor contributing to grid instability. 

“The Kaduna-Shiroro-Mando line was one of the two major lines transmitting power to the north.

“The second, the Ugwuaji-Makurdi line, was also vandalized but has been repaired. The Shiroro-Mando-Kaduna line, however, remains down due to insecurity.” 

Minister of Power Adebayo Adelabu

The reliance on a single transmission line, he explained, creates unnecessary strain and increases the grid’s susceptibility to collapses.  

While the government is committed to reducing the frequency of these incidents, Adelabu warned that such challenges will persist until comprehensive measures are implemented. 

The decentralization of Nigeria’s power grid, as facilitated by the Electricity Act 2023, marks a promising shift in the country’s approach to energy management.  

By empowering states to regulate their electricity markets, Nigeria can address systemic inefficiencies, encourage investment, and build a more resilient power sector. 

However, the journey toward reliable electricity supply will require coordinated efforts from the government, private sector, and local communities.  

Addressing infrastructure deficits, security challenges, and governance issues will be critical to achieving a sustainable energy future for Nigeria. 

As stakeholders work toward these goals, the insights of experts like Professor Wumi Iledare serve as a valuable guide, emphasizing the importance of decentralization, infrastructure investment, and regulatory reform in transforming Nigeria’s energy landscape. 

READ ALSO: China-Africa Relations, Opportunities and Challenges in a Changing World