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Nigerian electricity supply industry is transitioning from excuses to accountability – NISO

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The Nigerian Independent System Operator (NISO) has reiterated the gains recorded in the Nigerian electricity sector, stating that the supply industry is transitioning from excuses to accountability.

Abdu Mohammed, Managing Director of NISO stated this at the stakeholders engagement forum held in Abuja on Wednesday.

Mohammed explained that for years, Nigeria’s electricity market has carried the weight of structural limitations, legacy bottlenecks, governance ambiguities, operational constraints, and weak market confidence. Yet, it has also carried something else, immense promise.

“The establishment of the Nigerian Independent System Operator (NISO) signals our collective decision to unlock that promise through professionalism, neutrality, and a new market philosophy anchored on fairness and efficiency.

“Nigeria’s electricity market, will only be as competitive as the systems that support it, adding that competition thrives where rules are clear, processes are predictable, and all participants have equal access to opportunities. This, he said is the market NISO is determined to build,” he said.

The electricity market according to him, is moving from opacity to transparency, from fragmented coordination to unified command and control, from reactive operations to strategic market evolution.

Mohammed speaking further, said that Nigeria has made history with the successful synchronisation of the national grid with the West African Power Pool interconnected system.

He noted that for four unbroken hours, electricity flowed from Nigeria and Niger into the entire West African sub-region covering Benin, Togo, Ghana, Côte d’Ivoire, Liberia, Sierra Leone, Guinea, Senegal, Mali, The Gambia and Guinea Bissau operating at a single, stabilised frequency.

“That achievement was not accidental. It was the result of strengthened coordination, harmonized operating procedures, and transparent system management. It was a demonstration of what is possible when technical competence, operational discipline, and institutional collaboration work in harmony.

“The milestone recorded is more than a technical success, it positions Nigeria as a regional power hub; opens new avenues for electricity trading; unlocks foreign exchange potential; and reinforces investor confidence in the emerging Nigerian electricity market.

“A resilient electricity market requires more than engineering; it requires relationships. It requires trust among service providers, trust between the market and regulators, trust between government and operators, and, above all, trust from the Nigerian people.
This is why NISO is committed to building a stakeholder-driven market architecture,” he added.

Also speaking at the forum, Adebayo Adelabu, minister of power said that the successful synchronisation adds to the critical milestones recorded in the Nigeria power sector under the current administration.

He said that while this synchronisation is still at the test stage and not a permanent synchronisation, it provides useful lessons on driving other key reforms in the industry.

At the national level, Adelabu said the Ministry remains focused on ensuring that reforms translate into improved service delivery adding that efforts are ongoing to strengthen regulatory alignment between the central and subnational governments, expand transmission infrastructure, improve sector commercialisation, ensure reliable and sustainable supply, and support initiatives that enable states market development in line with the provisions of the law.

Read also: NISO: The quiet revolution reshaping Nigeria’s power grid

He said, “The Ministry also continues to work closely with development partners to support investments that improve system reliability, market liquidity, and renewable-energy integration.”

Adelabu speaking on the achievements in the sector, highlighted the decentralisation and liberalisation of the sector which he said has resulted in the activation of fifteen state electricity markets which was made possible with the Electricity Act 2023.

Others include: “Development of a National Integrated Electricity Policy after 24 years, attraction of over $2 billion in fresh investments into the sector to further extend electricity access in the country, commencement of the process to transition the industry towards full commercialisation which increased the sector’s revenue by 70 percent in the year 2024 and reduced government liability in the sector by N700 billion.”

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