Nigeria has lost an estimated N2.4 trillion in capacity payments over the past decade due to the underutilisation of its electricity grid, a development that continues to weigh heavily on the country’s economic growth ambitions. The revelation was made by the Managing Director and Chief Executive Officer of the Nigerian Independent System Operator (NISO), Abdu Bello, during the 11th Nigeria Energy Forum 2026 held in Lagos. The disclosure has renewed concerns about the efficiency of Nigeria’s power sector and its ability to support industrial expansion.
Represented by NISO’s General Manager for Research, Deji Ojo, Bello explained that despite significant investments in power generation, a large portion of available electricity is not being effectively utilised. According to him, Nigeria had an available generation capacity of 7,311 megawatts as of May 2026, but only an average of 4,222 megawatts was successfully dispatched for productive use. This leaves more than 3,100 megawatts of stranded capacity, translating into billions of naira in lost economic value and missed opportunities for businesses and households.
Industry stakeholders at the forum stressed that reliable electricity remains one of the most important foundations for economic development. Abdulrahman Yinusa, Group Managing Director of Odu’a Investment Company Limited, noted that Nigeria possesses abundant raw materials and resources but must move beyond exporting them in their basic form. He argued that a stable and efficient power supply is essential for transforming local resources into finished products, creating jobs, and boosting the country’s industrial competitiveness.
Speakers also highlighted the need to strengthen local manufacturing and innovation. Representatives from the Nigerian Content Development and Monitoring Board, the National Agency for Science and Engineering Infrastructure, and the Rural Electrification Agency called for greater investment in Nigerian-made products, homegrown technologies, and sustainable energy solutions. They emphasized that industrialisation can only thrive when supported by dependable infrastructure, particularly electricity, which remains a critical challenge for manufacturers across the country.
The discussions at the Nigeria Energy Forum ended with a strong call for action from policymakers, investors, and industry leaders. Forum organisers noted that Nigeria has the resources and talent required to become a leading industrial economy in Africa, but achieving that vision will depend on turning available energy capacity into real economic output. As the country seeks to accelerate industrialisation and job creation, experts believe solving the problem of power grid underutilisation could unlock enormous economic benefits and position Nigeria for long-term sustainable growth.