The Federal Government of Nigeria has set an ambitious goal to boost the national electricity grid by an additional 4,000 megawatts (MW) by the end of 2026, in what it describes as a bold and transformative push to overhaul the country’s long-struggling power sector. The announcement was made by the Minister of Power, Adebayo Adelabu, in a statement shared by his Special Adviser on Strategic Communications and Media Relations, Bolaji Tunji.
According to the statement, President Bola Ahmed Tinubu has given the green light for the engagement of multiple reputable Engineering, Procurement, and Construction (EPC) firms tasked with fast-tracking the grid expansion project. These companies were selected for their robust technical and financial capacity to execute large-scale infrastructure projects within specified timelines.
2026 Grid Expansion Plan: What to Expect
Adelabu disclosed that the Federal Government has launched a strategic plan to increase the national grid’s capacity by 4,000MW over the next two years, with an aspirational target of an additional 2,000MW. This plan forms a key component of the broader roadmap endorsed by Nigeria’s Economic Management Team in 2024.
“We are implementing critical reforms and infrastructure projects that will significantly raise our power transmission and distribution capacity. By the end of 2026, we aim to inject an additional 4,000MW into the grid,†the minister said.
This initiative comes at a time when Nigeria’s electricity infrastructure continues to struggle under the weight of decades-long underinvestment, poor maintenance, and systemic inefficiencies. Although Nigeria currently has an installed generation capacity of over 12,000MW, only about 4,000–5,000MW is typically available due to various constraints.
Siemens Power Project Gets a Fresh Boost
Adelabu emphasized that President Tinubu’s administration has breathed new life into the Siemens Power Project—officially referred to as the Presidential Power Initiative (PPI)—which was first introduced in 2018 as a bilateral partnership between Nigeria and Germany. The project aims to revamp the country’s power generation, transmission, and distribution framework in phased stages.
Under the current administration, the project has reportedly witnessed accelerated momentum. Adelabu explained that from the onset of the Tinubu presidency in 2023, an “Acceleration Agreement” was signed with Siemens Energy to hasten the implementation of the PPI, which had previously suffered delays under earlier administrations.
“There is no doubt that the Siemens project has witnessed significant improvements since the inauguration of this administration,†Tunji said, echoing the Minister’s comments. “No significant progress was made on the project until the present administration came into office.â€
Pilot Phase Deliverables and Current Progress
As part of the pilot phase of the PPI, 10 power transformers and 10 mobile substations were successfully installed and commissioned in various parts of the country. These assets, manufactured and delivered in October 2023, marked a tangible step forward in the PPI rollout.
The Minister noted that the successful completion of the pilot phase laid the foundation for the main implementation phase, which officially began in 2024. According to Adelabu, this next phase involves larger and more complex infrastructure projects, including nationwide transmission upgrades.
In parallel with the Siemens project, the Federal Government Power Company has been implementing transmission projects that have already added over 700MW of transmission wheeling capacity to the national grid. These upgrades have improved electricity distribution to critical areas, including industrial hubs, commercial districts, universities, and residential zones.
Key Outcomes and Long-Term Vision
The Federal Government’s renewed engagement with global EPC contractors and the accelerated implementation of the Siemens project underscore a broader strategy to resolve Nigeria’s persistent electricity supply crisis.
“This government is determined to ensure measurable and sustainable improvement in electricity access,†Adelabu said. “We are not just talking about progress, we are delivering on it.â€
He acknowledged the efforts of previous administrations in laying the groundwork for some of the ongoing projects, but insisted that the Tinubu-led government has set clearer objectives, introduced more efficient mechanisms, and committed to a more disciplined execution of the power reform agenda.
The minister also hinted that the power sector will be central to Nigeria’s economic revitalization plan, noting that stable electricity remains critical for boosting industrial productivity, attracting foreign investment, and improving quality of life.
Siemens Project Background: A Recap
The Siemens Power Project was launched in August 2018 under former President Muhammadu Buhari as part of a strategic energy deal with the German government. The objective was to address Nigeria’s chronic electricity shortfall through a phased upgrade of the national grid.
The project envisioned three stages:
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Phase 1 (Pilot) – Immediate improvements in critical grid infrastructure, including installation of transformers and substations.
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Phase 2 – Expansion of transmission and distribution networks to enable full utilization of existing generation capacity.
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Phase 3 – Addition of new generation capacity and further expansion to meet projected demand growth.
Despite initial enthusiasm, progress under the Buhari administration stalled due to financing delays, bureaucratic red tape, and changing priorities. However, the Tinubu government’s decision to re-engage Siemens Energy and approve an acceleration framework has rekindled hope that the initiative may finally deliver on its promises.
Outlook and Expectations
The bold targets set by the Ministry of Power, if achieved, could mark a significant turning point in Nigeria’s decades-long quest for reliable electricity. However, experts caution that success will depend on consistent policy execution, transparent project management, and protection from political interference.
Industry stakeholders are closely monitoring the progress of both the Siemens-led PPI and the EPC-backed grid expansion efforts. Many believe that a well-executed reform strategy could lift Nigeria’s power sector from stagnation to sustainability.
In the months ahead, all eyes will be on the Federal Government’s ability to maintain momentum, meet its 2026 deadline, and ensure that improved generation and transmission capacity translates into tangible benefits for businesses and households alike.