The Nigeria’s Energy Poverty: Challenges and Perspectives

Energy poverty remains one of the most pressing challenges to Nigeria’s economic development, with profound implications for industrialization, social equity, production costs, and human capital formation. Despite being Africa’s largest oil and gas producer, Nigeria paradoxically suffers from chronic electricity shortages, with approximately 45% of its population lacking access to grid power (World Bank, 2023) [32]. Previous research highlights that the shortcomings lie in Nigeria’s inability to fully harness its readily available resources; there is a stark contrast in energy demand, which exceeds 19,798 MW, compared to the existing transmission capacity of 8,500 MW and its installed generation capacity of 14,000 MW, highlighting a clear disparity between demand and supply. This paper investigates the structural and institutional factors perpetuating energy poverty, including systemic corruption, infrastructure decay, and over-reliance on fossil fuels. Drawing on empirical data from the Nigerian Electricity Regulatory Commission (NERC), this study employs a mixed-methods approach to analyze the socioeconomic consequences of energy deprivation. The findings reveal that energy poverty exacerbates industrial inefficiency, constrains educational attainment, and deepens gender disparities. The paper concludes with policy recommendations aimed at fostering renewable energy adoption, enhancing grid decentralization, and strengthening governance in the power sector.