- Nigerians endured more nationwide blackouts in 2023, especially on September 14, when the power grid collapsed due to a fire on a major transmission line.
- The report projects that renewables will increase between 2024 and 2026 at a compound annual growth rate of around 8%.
A report by the International Energy Agency (IEA) said yesterday that Nigeria’s national power grid collapsed 46 times from 2017 to 2023. The report noted that Nigerians endured more nationwide blackouts in 2023, especially on September 14, when the grid collapsed due to a fire on a major transmission line. Furthermore, the deterioration of power infrastructure increased dependency on backup generators for 40 per cent of electricity consumption in Nigeria.
IEA stated, “Although the country has a total installed capacity of about 13 GW, average available capacity remained around 4.5 GW in 2023 due to factors such as deteriorating units, poor maintenance and liquidity constraints. Unreliable power supply due to limited grid infrastructure, underinvestment and ineffective regulatory frameworks have resulted in an estimated 40 per cent of all the electricity consumed in the country being produced from backup generators.”
The report projects that renewables will increase between 2024 and 2026 at a compound annual growth rate of around eight per cent. Hydropower accounts for most of the renewables generation during 2024-2026, primarily due to the completion of the Zungeru project, with an estimated generation of 2.6TWh per year. In addition, IEA also expects Solar PV to grow rapidly, with an average rate above 50 per cent per year over the next three years.
According to the Nigeria Energy Transition Plan, natural gas accounted for around 75 per cent of electricity generated on the main grid in 2023. It would continue to play an essential role in energy supply and grid stabilisation for Nigeria’s power sector until 2030 and decline by 2050.