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Power crisis deepens as Nigeria's institutions trade blame

Prolonged electricity outages are depleting household savings and forcing businesses to spend more on backup power, while officials dispute responsibility.

Nigeria's electricity crisis is intensifying hardship for households and businesses as prolonged outages force consumers to finance expensive alternatives while power-sector institutions dispute which part of the system has failed. The Managing Director of the Association of Nigerian Electricity Distributors, Sunday Oduntan, apologised on November 9 during a live television programme, acknowledging that operators were returning to blame-shifting that characterised the industry between 2016 and 2019. "Apology is needed; it is essential," he said, but such expressions of regret cannot restore lost production or recover spoiled stock.

The exchanges between Power Minister Joseph Tegbe and the Nigerian National Petroleum Company (NNPC) Limited illustrate the coordination deficit. Tegbe attributed reduced supply to planned maintenance at Egbin Power Station, gas constraints affecting some thermal plants and sabotage of transmission infrastructure, saying affected generating units would begin returning within 48 to 72 hours. NNPC defended its gas transportation network and reported approximately 10 per cent growth in gas production during 2026, but distinguished transportation availability from actual deliveries to individual generating stations. Public exchanges lack a consolidated account identifying affected plants, unavailable capacity, delivery shortfalls and restoration milestones, leaving Nigerians enduring consequences while institutions debate how to describe the cause.

The financial toll on manufacturing is substantial. MAN's regional chairman for Anambra, Ebonyi and Enugu, Dr Adaora Chukwudozie, put alternative-power expenditure at approximately N1.35 trillion in 2025, against N1.11 trillion in 2024, an increase of roughly 22 per cent. This money is diverted from raw materials, machinery, salaries and expansion into electricity generation. Smaller operators have less room to absorb costs. A frozen-food seller risks losing stock and the money needed to replace it; a welder loses productive hours when generator fuel becomes unaffordable; a neighbourhood shop must choose between preserving perishables and protecting cash for its next purchase.

Households face a parallel squeeze. November retail indications place some 12.5-kilogramme cooking-gas refills around or above N21,000, although prices vary. Families struggling to prepare meals have fewer resources to purchase relief from darkness. NiMet's November outlook projects maximum temperatures between 28.6°C and 37.7°C, with humidity increasing discomfort in parts of southern and North-Central Nigeria. Premium-paying customers have an additional grievance. NERC places Band A consumers on a minimum supply expectation of 20 hours daily, but persistent shortfalls undermine the service promise underpinning their tariff classification.

Former President Olusegun Obasanjo renewed his call for greater private-sector responsibility on November 10 at the Youth Governance Dialogue in Abeokuta, arguing that government alone could not resolve the crisis and urging Nigeria to draw lessons from telecommunications. "Until we put energy in the hands of the private sector, we won't solve it," he said. Nigeria already transferred major generation and distribution assets to private investors in November 2013. Thirteen years later, continuing outages require examination of what additional privatisation would change, including investor capacity, access to finance, regulatory enforcement and the commercial relationships sustaining electricity production.