Nigeria’s electricity shortage could worsen as gas suppliers reduce the volume of fuel delivered to thermal power plants, raising concerns about further strain on the country’s power sector.
According to the Nigerian Independent System Operator (NISO), thermal power stations require about 1,629.75 million standard cubic feet of gas per day to function at full capacity. However, data from February 23, 2026, shows that only about 692 million standard cubic feet per day was being supplied — less than 43 percent of the required volume.
The shortfall comes amid widespread blackouts affecting several states, with businesses and households struggling to cope with unreliable electricity.
Chief Executive Officer of the Association of Power Generation Companies, Dr. Joy Ogaji, warned that mounting debt within the power value chain is pushing the sector toward a major crisis. Speaking in an interview on Fresh FM in Ibadan, she blamed the situation on the failure of the Nigerian Bulk Electricity Trading Plc (NBET) to fully pay generation companies for power supplied since the industry was privatised.
According to Ogaji, the Federal Government’s debt to generation companies has climbed to about ₦6.8 trillion, with roughly 70 percent linked to gas-fired power plants.
She explained that gas suppliers account for a significant portion of the outstanding payments because thermal plants rely heavily on gas to produce electricity. Based on industry estimates, about ₦3.3 trillion of the total debt is owed directly to gas producers.
Gas suppliers have reportedly informed generation companies that they will no longer continue supplying fuel unless payments are made.
Ogaji said the debt crisis has had serious implications for electricity generation, stressing that the ongoing blackouts are largely a consequence of the sector’s financial challenges.
She also noted that many generation companies are struggling to service loans obtained during the 2013 power sector privatisation, particularly because most of the loans were taken in dollars when the exchange rate was about ₦155 to $1. The sharp depreciation of the naira since then has significantly increased the financial burden on operators.
Blackouts and load shedding continue
Electricity consumers across Nigeria continue to complain about prolonged blackouts and load shedding as distribution companies ration the limited supply from the national grid.
Data from NISO shows that the Abuja Electricity Distribution Company currently receives about 539 megawatts, while Ikeja Electric gets 533MW and Eko Electricity Distribution Company receives 455MW.
Other allocations include 336MW for Ibadan Disco, 227MW for Benin Disco, 218MW for Enugu Disco, 190MW for Kano Disco, and 196MW for Port Harcourt Disco, among others.
Meanwhile, the Nigerian Electricity Regulatory Commission (NERC) reported that only 32 percent of the country’s 13,625MW installed capacity generated electricity in February 2026.
Protests erupt over prolonged outages
Frustration over the persistent power outages has sparked protests in parts of Lagos, where residents have taken to the streets to demand improved electricity supply.
Demonstrations were reported in communities such as Fadeyi, Mushin, Igando, Ajegunle, Ijanikin, and Badagry, with residents complaining about weeks of blackout while still receiving high estimated electricity bills.
Some protesters also criticised distribution companies for failing to provide prepaid meters despite government directives.
Residents say the situation has disrupted daily life and forced many households and businesses to rely on petrol generators amid rising fuel costs.
Electricity distribution companies have apologised to customers, attributing the outages to gas supply shortages affecting power generation.
In a notice to customers, Ikeja Electric said the gas constraints have led to a significant reduction in electricity generation, resulting in widespread load shedding across its network.
Similarly, Eko Electricity Distribution Company said stakeholders were working to resolve the gas supply challenge and restore normal power supply as soon as possible.
Across the country, artisans and small business owners say the unreliable electricity supply is increasing operating costs and affecting productivity, with many forced to depend on generators to keep their businesses running.