The Lagos State Government has projected an investment requirement of $14 billion to $33 billion to address its energy generation needs by 2030.
This was disclosed by Mr. Kamaldeen Balogun, General Manager of the Lagos State Electricity Board, during the 15th Ralph Alabi Memorial Lecture and the induction of new corporate members of the Nigerian Society of Engineers (NSE) Ikeja Chapter.
The event, themed “Opportunities in Emerging Power Sector: A Panacea for Economic Stability and Industrialisation”, highlighted the importance of innovative solutions in the power sector for economic growth and industrialisation.
In his keynote address, Balogun stated that the Lagos Bureau of Statistics provided the investment figures, underscoring energy supply as Lagos State’s most significant infrastructure and developmental challenge.
“Lagos State is poised to ensure adequate and reliable power supply to its citizens through the Lagos Electricity Market,” he said.
Currently, Lagos receives only 1,000 megawatts of power daily, available for an average of 12 hours, against the state’s requirement of 9,000 megawatts.
Opportunities in the Power Sector
Balogun noted that the power deficit presents vast opportunities for investment in the generation, transmission, distribution, and retailing segments of the power value chain.
He explained that the Lagos power sector offers investment opportunities in Independent Power Plants (IPPs), renewable energy (particularly solar), off-grid and mini-grid solutions for underserved areas, and energy storage systems to improve reliability.
“Emerging sectors like electric vehicle infrastructure and waste-to-energy projects offer long-term potential,” Balogun added.
Leveraging the 2023 Electricity Act
He further highlighted the significance of the 2023 Electricity Act, which empowers states to generate, transmit, and distribute energy within their jurisdictions.
According to him, this legal framework positions Lagos to take bold steps toward improving power supply through the Lagos Electricity Market.
“The Lagos Electricity Market Implementation Plan is a key initiative to enhance power generation and distribution, with a target to generate 3,000 megawatts of electricity within the next 30 months,” he said.
CR: NairaMetrics
