Reported by Ono Yima
Abuja — Sahara Power Group has unveiled plans to scale up Nigeria’s electricity output to between 6,500 megawatts and 7,000 megawatts by 2026, as renewed policy reforms, debt resolution efforts and technological innovation begin to reshape the country’s long-troubled power sector.
Speaking on the State of the Power Sector and Opportunities Ahead at a sector briefing held in Abuja, the Group Managing Director of Sahara Power Group, Mr Kola Adesina, said electricity remains central to Nigeria’s economic revival and industrial competitiveness, noting that the industry is entering a new phase driven by reform-inspired investments and deeper collaboration among stakeholders.
According to Adesina, Nigeria’s power industry is witnessing an unprecedented level of cooperation involving the Federal Government, the Ministry of Power, regulatory agencies, power market participants, the Central Bank of Nigeria, commercial banks and multilateral development institutions.
“We believe this trend will continue into 2026 and beyond, driving sector-wide growth that will translate into greater efficiency, sustainability and more power for Nigerians,” he said.
Adesina commended the Federal Government for its ongoing settlement of legacy debts owed to power generation companies and gas suppliers, describing the intervention as a critical step toward restoring liquidity and stabilising the electricity value chain.
He noted that decent progress has been recorded in metering and service delivery, adding that improved cooperation between regulators and operators would further enhance value-chain optimisation, directly improving supply reliability for end-users.
Adesina said the sector would witness extensive distribution network reforms, including infrastructure rehabilitation, deployment of Advanced Metering Infrastructure (AMI), and adoption of Customer Relationship Management (CRM) systems to reduce Aggregate Technical, Commercial and Collection (ATC&C) losses.
Sahara Power, which accounts for about 20 per cent of Nigeria’s total electricity generation, operates across the value chain through subsidiaries such as Egbin Power Plc—the largest thermal power plant in sub-Saharan Africa—First Independent Power Limited in the Niger Delta, and Ikeja Electric, the largest privately run electricity distribution company in the region.
Adesina disclosed that the company is on course to increase dispatched generation capacity to between 6,500MW and 7,000MW and is pioneering the launch of a dedicated Data Centre to support expansion, innovation and operational efficiency.
The Data Centre, he said, will leverage real-time data analytics, predictive maintenance and advanced cybersecurity systems, working in collaboration with government agencies and system operators to improve transparency and efficiency across the sector.
He added that Sahara Power would invest heavily in both gas and renewable energy sources over the next three to five years to deliver sustainable, affordable and reliable electricity for households and industries.
On sector financing, Adesina said discussions with a consortium of banks over power-sector loans were progressing positively, noting that the facilities, contractually due for full repayment by 2034, are being serviced in line with agreed terms.
According to him, Sahara Power has serviced the naira equivalent of $438 million—about 73 per cent of its original $600 million loan—despite significant liquidity challenges, including debts owed to the company and its gas suppliers, which stood at N1.514 trillion as of March 31, 2025.
He expressed confidence that the Federal Government’s legacy debt resolution programme would enable full settlement of outstanding obligations and accelerate growth plans across the sector.
Adesina aligned Sahara Power’s expansion strategy with President Bola Ahmed Tinubu’s infrastructure-driven economic agenda, noting that recent policy reforms, exchange-rate stability and moderating inflation are improving predictability and investor confidence.
Figures from the Nigerian Electricity Regulatory Commission show that over 2.3 million meters have been deployed nationwide under the National Mass Metering Programme since 2020, a development expected to reduce the metering gap and improve revenue assurance for operators.
Industry analysts say sustained reforms, effective debt resolution and disciplined private-sector investment could place Nigeria’s power sector on a path toward reliability, turning electricity into a catalyst for economic growth rather than a constraint.