Nigeria’s power sector in vicious cycle of underperformance -Tinubu laments

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Nigeria’s power sector in vicious cycle of underperformance -Tinubu laments
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President Bola Ahmed Tinubu has lamented that Nigeria's power sector is in a vicious cycle of underperformance and underinvestment. The President disclosed this Monday at the annual Nigeria Electricity Supply Industry Market Participants and Stakeholder Roundtable in Abuja.

Tinubu, represented by the Special Adviser, Energy and Infrastructure, Office of the Vice President, Sodiq Wanka, decried that 10 years after the privatization of the power sector in November 2013, over 90 million Nigerians still lack access to electricity. According to him, the sector has suffered chronic underinvestment, especially in transmission and distribution. He said the DisCos need at least N2 trillion recapitalization to jumpstart performance in this critical value chain.

Many of the successor utilities of the PHCN have failed to meet their performance improvement targets due to technical and financial capacity issues. 'We are in a vicious cycle of under-performance and under-investment, and everyone has a different view of which value chain player should be blamed for continued sector malaise. 'Preliminary analysis shows that DISCOS today are under-capitalized to close to N2 trillion.

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