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Home Frontier Markets

Bayelsa’s electricity headaches

by Ben Eguzozie
September 19, 2025
in Frontier Markets, Nigeria Frontier Markets
Bayelsa’s electricity headaches

Ben Eguzozie

Bayelsa, oil-bearing state, is battling with severe electricity supply hiccups. Widespread blackouts occurring frequently since 2024 and early this 2025, due to vandalism of
transmission lines have brought energy blackouts.

Some repair work by the state government has led to some relief. However, the major independent power project (IPP) is still underway, which completion timeline is not immediate. Vandalism of key transmission towers and power infrastructure plunged the state into total darkness for months at a time.

Additionally, the national grid instability which also supplies the state, has experienced multiple collapses in 2025, contributing to supply disruptions across the country. Also,
the state has historically faced bottlenecks in securing consistent gas supplies for power generation, despite sitting on major gas reserves. A long-standing lack of investment in electricity infrastructure has contributed to an unstable power supply, though this is
beginning to change.

There are efforts to improve power supply. The state government is developing its own
60-megawatt gas-fired power plant to lessen dependency on the national grid, and
provide a more reliable, independent source of electricity. Recent updates indicate that
the turbines for this project were being installed as of May 2025.

Weeks back early this September, the state government signed a Memorandum of Understanding (MOU) with a Dubai-based JAMPUR Group, to establish a solar panel and smart meter manufacturing plant. The initiative aims to move the state toward renewable energy and improve billing. Following extensive vandalism in late 2024, the Bayelsa state
government collaborated with the Transmission Company of Nigeria (TCN) to repair damaged transmission towers. These repairs have led to recent improvements in power supply in some areas.

In particular, the state-level electricity regulation led to, in late August, the Nigerian Electricity Regulatory Commission (NERC) ordering the Port Harcourt Electricity Distribution Company (PHEDC) to incorporate a subsidiary to assume responsibility for the supply and distribution of electricity within Bayelsa. This transition should allow the state to regulate its own electricity market.

While there has been some progress in recent months, especially with the repair of vandalized infrastructure, steady, uninterrupted power supply is not a present reality for Bayelsa, a state which reaps big in the 13% oil derivation payout by the Federation the period under review came from the Federal Accounts Allocation Committee (FAAC) payout, illustrating a state highly dependent on federally allocated funds. Till date, not much has changed. Development economists describe this situation as unhealthy, exposing the state to volatility risks frequently associated with crude oil prices, which regrettably make up a considerable chunk of Nigerian revenue.

Ben Eguzozie
Ben Eguzozie
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