Lagos State Governor Babajide Sanwo-Olu has unveiled plans to construct five energy hubs aimed at significantly enhancing the state’s electricity capacity. Speaking at the Lagos Commodities and Futures Exchange Breakfast Meeting on the Importance of the Energy Bill to the Capital Market, held at the Muson Centre in Onikan, Lagos, Sanwo-Olu emphasized the need for stakeholder collaboration to leverage the capital market for energy sector growth.
Represented by Deputy Governor Dr. Obafemi Hamzat, Sanwo-Olu reiterated his administration’s commitment to transforming Lagos into a model for electricity market reform in Africa. He highlighted ongoing efforts to encourage private sector involvement, improve regulatory oversight, and boost investor confidence in the state’s electricity market.
“As Nigeria’s economic nerve center, Lagos recognizes the importance of a reliable, competitive, and investor-friendly electricity market. We are dedicated to creating an environment conducive to investments in power infrastructure and renewable energy solutions,” Sanwo-Olu remarked.
Investment Opportunities in the Energy Sector
The governor underscored the importance of structured platforms that enable both local and international investors to finance large-scale energy projects. These projects will be supported through various financial instruments, including energy bonds and power purchase agreements. He called on financial institutions, investors, and policymakers to collaborate in building a sustainable electricity marketplace that meets the growing needs of residents and businesses.
Sanwo-Olu also pointed to the Lagos State Electricity Law as a key driver of decentralized power generation and increased private sector participation. One major initiative under this law is the planned rollout of new meters across the state to eliminate estimated billing and ensure fair electricity pricing.
Clean Lagos Electricity Market Initiative
Earlier, Lagos State Commissioner for Energy and Mineral Resources, Biodun Ogunleye, introduced the Clean Lagos Electricity Market (CLEM) initiative. This ambitious program aims to eradicate blackouts by implementing systemic reforms to the state’s Electricity Bill. Key measures include establishing robust market institutions and attracting new investments to guarantee widespread and equitable power distribution.
With these strategic initiatives, Lagos State is positioning itself as a leader in energy market transformation, creating a more reliable and investor-friendly electricity sector that will drive economic growth and development.