Abuja — In a bold step to revitalise Nigeria’s struggling power sector, the Federal Government has announced plans to overhaul the operations of electricity Distribution Companies (DisCos) across the country. This reform is aimed at improving service delivery, closing leakages, and ensuring greater accountability in the power value chain.
The announcement was made by the Minister of Power, Chief Adebayo Adelabu, during a high-level stakeholders’ meeting in Abuja on Monday, where he expressed the government’s deep concern over the persistent inefficiencies, poor customer service, and chronic financial insolvency plaguing several DisCos since their privatisation over a decade ago.
According to Adelabu, the planned overhaul will involve a comprehensive audit of the DisCos’ operational capacities, management structures, technical assets, and financial viability, with the goal of instituting a performance-driven framework that prioritises customer satisfaction and steady power supply.
“The current state of our power distribution companies is unacceptable. Nigerians deserve better, and this administration under President Bola Ahmed Tinubu is determined to turn the tide through strategic reforms and accountability mechanisms,” Adelabu stated.
The minister further revealed that the government is working closely with the Nigerian Electricity Regulatory Commission (NERC) and the Bureau of Public Enterprises (BPE) to develop a restructuring blueprint that could lead to the recapitalisation or possible takeover of underperforming DisCos by more competent operators.
Over the years, DisCos have been the weakest link in Nigeria’s electricity supply chain, often blamed for poor metering, energy theft, billing irregularities, and unreliable service. Despite massive investments and various interventions by the Central Bank of Nigeria (CBN) and multilateral partners, electricity supply has remained erratic in most parts of the country.
In addition to the planned overhaul, Adelabu disclosed that the government will intensify the rollout of smart meters, promote decentralised power solutions, and explore competitive frameworks that will encourage private sector participation and innovation in power distribution.
He also hinted at plans to establish a national data repository that will track electricity usage patterns, customer feedback, and DisCos’ performance in real time—allowing for quicker interventions and regulatory sanctions when necessary.
The overhaul initiative has already drawn attention from investors and energy experts, with many describing it as a long-overdue move that could revive public confidence in the sector and drive sustainable growth in power delivery.
As the nation grapples with rising energy demands and the need to attract industrial investments, analysts say that fixing the DisCos remains a critical foundation for achieving Nigeria’s economic transformation goals under the Renewed Hope Agenda.
