The Federal Government has begun discussions with electricity distribution companies (DisCos) over plans to establish Energy Zones designed to provide 24-hour electricity supply to homes, businesses and industries in Nigeria’s major demand centres.
Minister of Power, Joseph Tegbe, held a closed-door meeting with the leadership of selected electricity distribution companies to discuss the proposed initiative, according to a statement issued by his media aide, Adeola Adelabu, on Wednesday.
The proposed Energy Zones will initially target three major economic corridors: the Lagos axis, Abuja-Kaduna-Kano corridor and Enugu-Port Harcourt corridor.
The initiative is intended to tackle distribution constraints and ensure that electricity generated and transmitted to the national grid can reach consumers more reliably, particularly in areas with significant commercial and industrial activity.
FG Targets Major Power Demand Centres
Tegbe said the challenges confronting Nigeria’s electricity sector extend beyond generation and transmission, stressing that the ability of distribution companies to take up available electricity and deliver it to consumers remains a major constraint.
“The constraint on the sector is not limited to generation and transmission but includes how much power is taken up and delivered at the distribution end.”
According to the minister, the proposed Energy Zones are expected to help close the gap between available electricity and electricity delivered to end users.
The government also expects the initiative to unlock additional commercial and industrial demand while improving the revenue and collection performance of electricity distribution companies.
Lagos, Abuja-Kano and Enugu-Port Harcourt Corridors in Focus
The first proposed Energy Zones are expected to cover areas with strong economic and industrial activity.
The Lagos axis is one of Nigeria’s largest electricity demand centres, while the Abuja-Kaduna-Kano corridor connects several major commercial and industrial locations in northern Nigeria.
The Enugu-Port Harcourt corridor is also an important economic region, with significant commercial, manufacturing and industrial activities.
The government said expanding electricity infrastructure in high-demand locations would be necessary to ensure that power supply capacity keeps pace with Nigeria’s growing economy.
No Implementation Timeline Yet
While the Federal Government has disclosed the locations being considered for the proposed Energy Zones, details about implementation remain limited.
The statement did not specify when the Energy Zones will become operational, the electricity capacity planned for each zone or the specific infrastructure investments required to deliver round-the-clock electricity.
The engagement with DisCos forms part of the minister’s stated approach of addressing Nigeria’s longstanding electricity challenges through a phased and structured process.
The proposed Energy Zones also align with President Bola Tinubu’s Renewed Hope Agenda, which identifies reliable electricity supply as an important factor in economic growth, industrialisation and job creation.
DisCos and Energy Firm at Meeting
Organisations represented at the meeting included Abuja Electricity Distribution Company, Ikeja Electric, Eko Power, Ibadan Electricity Distribution Company and Sahara Energy Group.
The discussions come amid continuing concerns over the reliability of electricity supply across Nigeria and the ability of distribution companies to deliver available electricity to homes, businesses and industries.
If implemented, the Energy Zones would represent an effort to concentrate infrastructure and distribution improvements in major demand centres, with the broader objective of making electricity supply more reliable for productive economic activities.