Nigeria’s persistent electricity challenges are costing the nation more than ₦2 billion annually, according to the United Nations Development Programme (UNDP). This revelation was made by UNDP Resident Representative, Elsie Attafuah, during the inaugural National Legislative Conference and Expo on Renewable Energy held in Lagos.
Attafuah highlighted the detrimental impact of inadequate power supply on Nigeria’s economy, particularly in the agricultural sector. “Agricultural produce such as yam, fruits, and vegetables are being wasted as a result of poor power supply,” she noted. She also emphasized that the situation exacerbates unemployment, as unreliable electricity hampers industrial growth and job creation.
In response to these challenges, the UNDP has initiated interventions by providing power-generating facilities to farmers in select northern states. These efforts have reportedly led to increased participation and profitability among farmers, showcasing the potential benefits of reliable energy access.
The conference, organized in collaboration with the House of Representatives Committee on Renewable Energy, underscored the urgency of transitioning to sustainable energy sources. Speaker of the House, Tajudeen Abbas, stressed that embracing renewable energy is no longer optional for Nigeria. He cited global trends, noting that in 2024, 92% of new power generation capacity, amounting to 585 gigawatts, was from renewable sources. Furthermore, $1.7 trillion of the $2.8 trillion global energy spending in 2023 was dedicated to clean energy and related technologies.
Abbas revealed that the House has passed tax reform bills removing Value Added Tax (VAT) on renewable energy and compressed natural gas (CNG) to attract private investment in clean energy. Additionally, efforts are underway to provide legal support for the federal government’s Renewable Energy and Energy Efficiency Policy adopted in 2015.
The conference also featured insights from representatives of Abia, Enugu, and Osun State governments, who emphasized the need to improve energy access and develop a reliable, sustainable power infrastructure. Other notable speakers included the First Deputy Speaker of Ghana’s Parliament, Prof. Benard Afliator; Executive Director of INCLUDE Knowledge Platform, Anika Altaf; and state officials focused on energy and climate change initiatives.