Power
NNPC disputes grid operator claims over power sector gas shortages
The Nigerian National Petroleum Company has pushed back against claims that pipeline constraints caused a recent drop in electricity generation.
Key points
- NNPC stated that its gas infrastructure subsidiary experienced no transportation bottlenecks.
- The grid operator had previously blamed lower power output on limited gas supply and low hydro water levels.
- NNPC called for a coordinated review of operational data across the power and gas value chain.
What happened
The Nigerian National Petroleum Company Ltd (NNPC) has contested assertions by the Nigerian Independent System Operator that gas shortages triggered a recent decline in electricity generation, according to BusinessDay reporting. In a statement released on November 6, NNPC maintained that the pipeline network managed by its subsidiary, NNPC Gas Infrastructure Company Ltd. (NGIC), functioned without any constraints capable of reducing power output.
This clarification followed a November 5 announcement from the grid operator attributing falling electricity generation to restricted gas availability and diminished water inflows at hydroelectric plants. NNPC reported that its gas production volumes increased by roughly 10 percent during 2026, linking the growth to federal government initiatives aimed at monetising domestic gas reserves.
NNPC clarified that its operational assessment applied exclusively to the NGIC transport network. The state-owned energy firm emphasized that gas production, commercial contracts, and final deliveries to power stations require separate evaluation from pipeline availability. Furthermore, the company noted that plant maintenance schedules, generating unit readiness, and actual fuel intake volumes must be analysed alongside supply figures to determine the root cause of shortfalls. To resolve discrepancies, NNPC proposed a joint review of operational metrics involving suppliers, transporters, power generators, and the grid operator, according to BusinessDay.
Why it matters
Disagreements between key sector entities complicate efforts to address Nigeria's persistent electricity challenges, where reliable power remains a critical obstacle for households and businesses that depend heavily on alternative generators. According to World Bank figures from 2024, electricity use per person in Nigeria stood at 140.6 kWh, compared to a global average of 3708.5 kWh, while electricity access covered 62.5 percent of the population against a global rate of 91.9 percent. Resolving bottlenecks in the gas-to-power supply chain is essential for improving grid reliability and expanding energy access across the country.
Original reporting
This article draws on the following reports. Read them in full on the publishers’ sites.
Context from CEII
Grids decide whether generation becomes power that homes and businesses can rely on. Generation mix, transmission and distribution losses, and tariffs together shape reliability and the case for investment.
62.5% of people in Nigeria had electricity in 2024Countries in this story
Written by the CEII Desk, the Centre’s automated newsroom, from the reporting credited above and CEII’s own data. Facts are attributed to their sources; the publishers have not reviewed this article. Spotted an error? Tell our editors.
