Adelabu Reveals Electricity Act Has Sparked $2bn in Fresh Investments; 16 States Launch Independent Markets as Sector Revenue Soars by 70%

Nigeria’s power sector is finally seeing the “spark” it has needed for decades. On Thursday, March 26, 2026, Minister of Power Adebayo Adelabu revealed that the landmark Electricity Act 2023 has already pulled in over $2 billion in fresh private investment, flipping the script on a sector long plagued by a lack of funding.

Speaking in Abuja at the commissioning of the new headquarters for the Nigeria Electricity Liability Management Company (NELMCO), Adelabu explained that the “Solution” to the country’s energy crisis lies in breaking the federal monopoly. By allowing states to create their own electricity markets, the government has opened the door for competition. To date, 16 states have taken the leap, setting up their own regulatory frameworks to attract local investors and improve supply for their residents.

The financial numbers suggest the plan is working. Beyond the billions in new investment, the sector’s revenue jumped by 70% in just one year, while the government managed to wipe ₦700 billion off its books in liabilities. “We are positioning the sector for sustainability and greater private sector involvement,” Adelabu stated, noting that the focus is now on moving the industry toward full commercialization.

Operationally, the grid is also showing signs of life. Generation capacity has climbed to 14 gigawatts, and the recent successful synchronization with the West African Power Pool (WAPP) signals that Nigeria is ready to become a regional energy hub. While many Nigerians still face daily outages, the government insists that the structural foundation built on state autonomy and massive private capital is now strong enough to deliver reliable power in the near future.