Power Distribution Companies (DisCos) in Nigeria have resorted to rationing as the country grapples with a significant power deficit of almost 16,000 megawatts (MW), despite issuing generation licenses to 40 Generation Companies (GenCos).
Data from the Independent System Operator on Monday revealed that Nigeria requires nearly 19,798MW to achieve sufficiency. However, the generation by GenCos as of Sunday stood at a mere 3,860.3MW, leaving a deficit of 15,938MW.
The situation has led to power rationing by DisCos across the country, with only 16 out of 40 GenCos generating to the grid at 3,860.3MW as of Sunday. Notably, Egbin Power was completely off the grid. The top generators included Azura-Edo IPP (420MW), Kainji Hydro (415MW), and Shiroro Hydro (275.73MW).
The ongoing power supply challenges have persisted following recent system collapses, even after the Transmission Company of Nigeria (TCN) claimed to have restored power supply across the country.
Additionally, low gas supply to power has intensified the generation shortfall, with gas producers citing a debt of over $1.3 billion for past supplies.
Despite the government’s agreement at the beginning of the year to pay electricity subsidies of N1.6 trillion in 2024 to the Nigerian Electricity Supply Industry (NESI), only N450 billion was provided for in the budget, further complicating efforts to address the power deficit.
