July 5, 2025 | Abuja, Nigeria
Nigeria is reportedly losing an estimated $25 billion annually due to inadequate electricity supply, according to industry analysts and economic experts. The persistent power crisis continues to hamper industrial productivity, discourage investment, and push millions of households and businesses to rely on expensive alternatives.
Economic experts revealed that the losses stem from reduced manufacturing capacity, lower business output, and increased reliance on diesel-powered generators, which escalate production costs and diminish competitiveness in local and international markets.
Despite the Federal Government’s ongoing power sector reforms and investments in grid infrastructure and renewable energy, access to stable electricity remains a major challenge across most parts of the country. Many businesses operate below optimal levels, while millions of Nigerians endure erratic power supply daily.
Energy sector stakeholders have urged the government to implement more decisive reforms, including privatization of critical infrastructure, transparency in regulatory frameworks, and investment in off-grid and renewable energy solutions.
“The cost of energy inefficiency is not just financial, it impacts employment, healthcare, education, and overall quality of life,” noted Dr. Samuel Olatunde, an energy economist. “Until Nigeria solves its electricity problem, economic growth will continue to be limited.”
The revelation comes amid renewed calls from the private sector and civil society for accelerated energy reforms as a foundation for sustainable development and economic transformation.
