Gas shortage forces NISO to begin load shedding

2026-02-27 - 18:47

...as generation drops to 4,300MW By Mariam Eko The Nigerian Independent System Operator (NISO) has commenced load shedding across the country following a significant drop in power generation caused by inadequate gas supply to thermal power plants. In a notice issued to market participants on Friday, the system operator disclosed that electricity generation had declined to an average of 4,300 megawatts (MW), down from over 5,000MW recorded in recent days. NISO attributed the decline to severe gas supply constraints, explaining that thermal power plants — which account for the dominant share of Nigeria’s electricity generation mix — require approximately 1,629.75 million standard cubic feet (MMSCF) of gas per day to operate at optimal capacity. However, as of February 23, 2026, actual gas supply to the stations stood at about 692 MMSCF, representing less than 43 per cent of the required volume. “Available gas supply represents less than 43 per cent of the required volume, resulting in constrained generation output,” NISO stated. “The current low generation level is fundamentally driven by inadequate gas supply to thermal generating units, leading to reduced energy allocation to Distribution Companies (DisCos).” The operator further explained that whenever total system generation drops significantly, it is compelled to implement load shedding across the grid while dispatching available energy in line with the Multi-Year Tariff Order (MYTO) allocation percentages approved by the Nigerian Electricity Regulatory Commission (NERC) to maintain grid stability and prevent system disturbances. “Consequently, the current energy allocated to DisCos reflects the reduced supply available on the grid,” the notice added. Responding to concerns from stakeholders, the Managing Director and Chief Executive Officer of the Association of Power Generation Companies (APGC), Dr. Joy Ogaji, urged Nigerians to focus on liquidity challenges in the power sector rather than just generation shortfalls. “We should move beyond increased generation to increased liquidity. GenCos have been shouting for payment, but no one supported us. Now that generation is low, everyone is speaking,” she said. According to her, inadequate market payments to generation companies have compounded operational challenges in the sector. “We should track market payments just the way we are tracking low generation and gas,” she added, noting that the prevailing situation reinforces the misconception that electricity should be provided free of charge. Nigeria’s power sector remains heavily dependent on gas-fired plants, making electricity supply vulnerable to disruptions in gas production, pipeline constraints, and payment shortfalls within the electricity value chain.