Nigeria's Government Launches Energy Zones for Better Power Supply

The Federal Government of Nigeria has unveiled plans to create six special Energy Zones aimed at improving electricity supply in key commercial and industrial areas. The initiative will initially target the Lagos axis, the Abuja-Kaduna-Kano corridor, and the Enugu-Port Harcourt corridor, encompassing six locations across five states and the Federal Capital Territory.

Minister of Power Joseph Tegbe discussed this initiative during a strategic meeting with representatives from various electricity distribution companies, including Abuja Electricity Distribution Company, Ikeja Electric, Eko Power Ltd, Ibadan Electricity Distribution Company, and Sahara Energy Group. The focus is on strengthening the distribution infrastructure to meet the high demand for electricity from households and businesses.

The government anticipates that these zones will enhance billing and collections for electricity distribution companies, addressing significant revenue gaps. Data from the Nigerian Electricity Regulatory Commission indicated that in 2025, electricity valued at approximately N3.68 trillion was supplied, but only N2.99 trillion was billed, with actual collections around N2.32 trillion.