Lagos signs new power agreements to boost electricity

T The Lagos State Government has signed three new power purchase agreements aimed at improving electricity supply and addressing inefficiencies across the state’s power sector.

Governor Babajide Sanwo-Olu disclosed that the agreements involve key energy providers tasked with strengthening power delivery in critical areas of Lagos.

Under the arrangement, Fenchurch Power will support major water facilities in Adiyan and Iju, while Mainland Power will continue supplying electricity to Ikeja, Oshodi, and Anthony, with provisions for future expansion. Viathan is expected to maintain stable electricity supply to essential facilities on Lagos Island, alongside improved integration with the distribution network.

Sanwo-Olu noted that the agreements have been updated to reflect current market realities, introducing a performance-based payment structure. According to him, the state will now only pay for electricity that is actually delivered and metered.

He said the move is designed to reduce waste, improve cost efficiency, and ensure accountability within the power value chain.

The governor added that the initiative will enhance power reliability for public infrastructure, improve resource utilization, and provide a scalable framework for increasing electricity capacity in the coming years.

Source: X | jidesanwoolu