LCCI Demands Constant Electricity Supply for Industrial Clusters, Commercial Centres, Technology Parks

The Lagos Chamber of Commerce and Industry (LCCI) has urged the creation of uninterrupted electricity supply facilities in industrial zones, urban centers, markets, and innovation hubs across Nigeria. LCCI President Leye Kupoluyi made this proposal during the LCCI's conference on "Gas to Power: Unlocking Nigeria's Energy Potential for Sustainable Economic Growth."

He proposed that these hubs, built through partnerships between government and private sector investors, could integrate gas-based generation, renewable energy sources, battery storage, and dedicated distribution systems to deliver more reliable electricity. Kupoluyi highlighted Nigeria's substantial gas reserves, which could strengthen power generation and bolster industrial growth.

He noted that while gas-fired generation is essential, it must be complemented by enhancements in transmission, distribution, metering, market liquidity, and operational efficiency. The aim is to convert Nigeria's natural resources into dependable electricity, competitive businesses, and sustainable economic growth. The LCCI president emphasized that businesses, especially manufacturers and small to medium-sized enterprises, are suffering from the negative impacts of frequent power outages, high energy costs, and reliance on petrol- and diesel-powered generators.

These issues drive up production costs, disrupt operations, reduce capacity utilization, weaken profit margins, and hinder the competitiveness of Nigerian products domestically and internationally. Unreliable electricity supply is also deterring investment, limiting job creation, and contributing to higher consumer prices. Kupoluyi stressed that Nigeria must act swiftly to establish a power sector that boosts productivity, draws investment, and enables businesses to prosper.

He called for harnessing the country's abundant natural gas resources to deliver reliable, affordable, and sustainable electricity to businesses and households. Nigeria must move beyond electricity generation to ensure dependable power reaches businesses and households at affordable and sustainable prices. To achieve this, regulatory institutions must provide predictable rules, enforce service standards, protect consumers, and ensure market participants meet their obligations.

Tariff frameworks should support the sector's financial sustainability while addressing affordability and efficient service delivery. Lagos State's Commissioner for Energy and Mineral Resources, Biodun Ogunleye, echoed Kupoluyi's call. He emphasized that while Nigeria has energy resources, the focus must be on developing the infrastructure, business structures, and institutional frameworks needed to transform those resources into reliable electricity for industries, businesses, and households.

Ogunleye stated that Lagos currently receives about 1,000 megawatts from the national grid, but its electricity demand is over 6,000 megawatts. This significant gap has led to widespread reliance on expensive self-generation, raising production costs, weakening competitiveness, and straining households and businesses financially.

Ogunleye's vision is to provide approximately 6,000 megawatts of electricity capacity, comprising 4,000 megawatts from gas-fired generation and 2,000 megawatts from renewable sources.