KEY POINTS
- The Nigerian government’s vision is to achieve 20 hours of power supply before 2027 but is contingent on investments.
- These balanced by the nature of reforms pertaining to smart meters, debt and off–grid solutions.
- New fiscal incentives introduced will help increase investments in, oil, gas, and energy sectors.
The Nigeria Federal government further made it a convincing goal to offer twenty (20) hours of electricity daily to the citizens by 2027.
The target revealed at the African Energy Week held in Cape Town by Nigeria’s Special Adviser to the President on Energy, Olu Verheijen, depends on adequate investment in Nigeria’s oil and gas sector.
Challenges and changes in Nigerian energy industry
The grid has malfunctioned ten times this year, due to what insiders refer to as old hardware and lack of early investment, leaving Nigeria in the dark more often than not.
These problems are slated to be solved through the installation of seven million smart meters this year, handling of legacy debt and enlargement of off-grid solutions with a view of enhancing power supply to the ninety-one million Nigerians without access to electricity.
Investment: maximizing the potential for energy generation.
The areas that Verheijen pointed out as the implementing changes in the President Tinubu’s administration incorporated the fiscal incentives for.
According to Verheijen, she pointed out that Nigeria has been a laggard in the oil and gas sector with getting only 4 percent of African energy investments since 2016.
The administration’s goals include shortening contracting times, rebalancing and expediting resolution of regulations, and implementing new incentives for domestic power generation and investment in sustainable energy.
These are in addition to facilitating over one billion dollars worth of investments and the target of completing two large scale projects by 2025.
By implementing that Nigeria has rolled out set policies with the aim of enhancing the energy sector so as to increase power supply and reliability.
