NDPHC pledges 1,500MW boost for Lagos power supply

The Punch reports on a significant potential boost to Lagos's electricity supply, with the Niger Delta Power Holding Company (NDPHC) pledging to add 1,500 megawatts. This offer comes at a critical time, as Lagos, Nigeria's economic powerhouse, grapples with a massive electricity deficit.

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Our mandate is fundamentally to scale up power generation alongside the associated transmission and distribution networks. We are uniquely positioned in the power sector because our operations cut across the entire electricity value chain, from gas to generation, transmission, and distribution.

NDPHC's Managing Director, Jennifer Adighije, highlighted the company's substantial 'stranded capacity'—nearly 2,000MW that is generated but not dispatched due to transmission and distribution constraints. This situation is a long-standing issue in Nigeria's power sector, where generation often outstrips the ability to deliver electricity to consumers.

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It is widely known that NDPHC owns the largest power generation assets in sub-Saharan Africa. We have an installed generation capacity of about 4,000MW, but regrettably, we are only able to dispatch between 400MW and 500MW daily. This clearly shows that we have significant stranded capacity.

From a Lagosian perspective, this news offers a glimmer of hope. The article points out the stark reality: Lagos needs close to 12,000MW but receives only about 1,000MW. The NDPHC's offer, if realized, could dramatically improve the situation, impacting everything from daily life to industrial productivity. The company's willingness to invest in transmission and distribution infrastructure, driven by the commercially viable nature of the Lagos market, suggests a potential pathway to overcoming the delivery bottlenecks that have plagued the sector. This initiative could be a game-changer for the state's development.

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The Lagos electricity market is very lucrative and dynamic. This is a market where we are willing to make huge investments. In the past, our investments were largely intervention-based, but now we are looking at a market where there is a clear path to investment recovery.