Rise and Fall of Nigeria’s Power Generation Capacity Between 2020 and 2024

From 2020 to 2024, Nigeria’s power generation capacity saw various changes. Despite having an installed capacity of around 8,846 MW, the actual power generation has often fallen short due to various infrastructural and operational challenges.

The country’s energy mix includes thermal (gas-fired) and hydroelectric power plants, with recent efforts to incorporate renewable energy sources like solar and wind. Here is an overview of the power generation from 2020 to 2024.

2020

In 2020, Nigeria’s power generation capacity was 6,107 MW, with an average generation of 4,054 MW. The country’s power sector heavily relied on nine out of 26 power plants, collectively accounting for 71% of the total electricity generated.

The Egbin power plant was the most significant contributor, generating 13.54% of the total energy output. Despite this, Nigerians continued to experience frequent power outages and load shedding due to the inadequate transmission and distribution infrastructure.

2021

The year 2021 saw a slight increase in power generation capacity to 8,000 MW, but the average distribution remained around 4,094 MW. This highlighted the stark difference between installed capacity and actual generation.

Unutilised power generation increased significantly to 3,008 MW, reflecting the transmission and distribution network inefficiencies. Efforts to address these issues were ongoing, but the impact was yet to be seen.

2022

In 2022, the challenges in Nigeria’s power sector persisted. The average generation capacity hovered around 4,000 MW. Power generation infrastructure continued to face setbacks due to ageing equipment and a lack of investment.

Despite the efforts of the Nigerian Electricity Regulatory Commission (NERC) and other stakeholders, the gap between generation capacity and actual supply to end-users remained significant.

2023

By 2023, Nigeria’s power generation capacity reached 8,846 MW in June, up from 8,330 MW in the previous quarter. However, the country still struggles to meet the growing electricity demand.

Nigeria generated around 40.7 terawatt hours of electricity during this period, but the distribution network continued to lag, resulting in persistent power outages. Investment in new power plants and infrastructure upgrades were critical priorities to address the widening demand-supply gap.

2024

2024, the power generation capacity improved, maintaining 8,846 MW in June. However, the average generation was still lower than the installed capacity. The transmission and distribution networks were key bottlenecks, and ongoing efforts to improve these systems were crucial.

The Nigerian government and private sector continued to invest in the power sector, hoping to address the infrastructure challenges and improve the reliability of the power supply. Nigeria’s power generation sector has made significant strides over the years, but there is still much work to do to ensure a consistent and reliable power supply for its population.

Addressing the transmission and distribution challenges, investing in renewable energy, and improving the efficiency of existing power plants are critical steps toward achieving a sustainable energy future for Nigeria.

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