Nigeria Seeks 277GW Power Capacity By 2060, $10bn Annual Investment Under Energy Plan
Federal Government unveils ambitious plan to expand electricity generation, cut generator dependence and accelerate Nigeria’s transition to cleaner energy.
Federal Government unveils ambitious plan to expand electricity generation, cut generator dependence and accelerate Nigeria’s transition to cleaner energy.
The Federal Government has unveiled an ambitious long-term energy transition plan aimed at expanding Nigeria’s electricity generation capacity to 277 gigawatts (GW) by 2060, as it seeks to reduce dependence on generators, drive industrialisation and achieve net-zero emissions.
Minister of Power Joseph Tegbe announced the target at the Lagos Chamber of Commerce and Industry (LCCI) Renewable Energy Outlook Conference 2026 in Lagos, saying the strategy would combine renewable energy, natural gas and increased private sector investment to transform the country’s power sector.
“Nigeria plans to increase its installed electricity capacity to 277 gigawatts by 2060” as part of efforts to drive industrial growth, reduce energy poverty and achieve net-zero emissions, the minister said.
Tegbe noted that despite Nigeria having more than 13,000 megawatts (MW) of installed electricity generation capacity, less than half is consistently delivered to consumers, forcing households and businesses to rely heavily on costly self-generation.
He said reforms introduced under the Electricity Act 2023 had begun reshaping the sector by allowing states to regulate electricity markets independently.
According to the minister, about 20 states have already enacted electricity laws, while 12 are advancing the transfer of regulatory oversight from the Nigerian Electricity Regulatory Commission (NERC).
Tegbe also said the government had expanded transmission infrastructure through the installation of new transformers and the completion of projects that have increased grid capacity.
He added that a $1.16 billion grid digitalisation programme is nearing completion, describing it as a key component of efforts to modernise Nigeria’s electricity network.
The minister said achieving the country’s energy transition objectives could save an estimated $121 billion in fuel costs, although it would require an additional $10 billion in annual investment.
