Lagos sets the pace! Sanwo-Olu vows to lead Africa’s Energy Transformation

Lagos State Governor, Babajide Sanwo-Olu, has reaffirmed his administration’s commitment to positioning Lagos as a model for electricity market transformation in Africa.

Speaking at the Lagos Commodities and Futures Exchange Breakfast Meeting on the Energy Bill’s Importance to the Capital Market, held at the Muson Centre, Onikan, Lagos, Sanwo-Olu—represented by his Deputy, Dr. Kadri Obafemi Hamzat—stressed the government’s strategic efforts to attract private sector participation, enhance regulatory oversight, and bolster investor confidence in the Lagos electricity market.

“As Nigeria’s economic nerve centre, Lagos understands the critical need for a reliable, competitive, and investor-friendly electricity market. We remain committed to creating an enabling environment that attracts investments in power infrastructure and renewable energy solutions,” he stated.

Highlighting the capital market’s role in unlocking new investment channels for the power sector, the governor underscored the need for structured platforms that facilitate financing for large-scale energy projects through instruments such as energy bonds, power purchase agreements, and electricity derivatives.

He called on stakeholders, financial institutions, investors, and policymakers to collaborate in leveraging the capital market to drive energy sector growth.

“Together, we can build a competitive, reliable, and sustainable electricity marketplace that meets the needs of our people and businesses,” Sanwo-Olu said, adding that the Lagos State Electricity Law lays the foundation for decentralizing power generation and fostering private sector participation. He also noted ongoing efforts to introduce new meters and eliminate estimated billing across the state.

Describing the event’s theme as timely, Sanwo-Olu emphasized the need for a more sustainable and resilient energy sector. “The goal is to ensure widespread access to power, reduce dependency on generators, and promote a cleaner environment. It’s a win-win situation for everyone,” he added.

In his address, the Lagos State Commissioner for Energy and Mineral Resources, Biodun Ogunleye, highlighted the Clean Lagos Electricity Market (CLEM) initiative, which aims to eliminate blackouts across the state.

He outlined key strategies for executing the state’s Electricity Bill, including strengthening market institutions, deploying modern tools, optimizing value chain delivery, and attracting investments to drive a sustainable energy transformation.

Ogunleye also revealed that the Lagos government is constructing five energy hubs to significantly boost the state’s power capacity. He urged private sector players, individuals, and stakeholders to support efforts to ensure equitable power distribution across all communities.

In a goodwill message, the Director-General of the Securities and Exchange Commission (SEC), Dr. Emomotimi Agama—represented by Executive Commissioner, Operations, Mr. Bola Ajomale—emphasized the importance of collaboration between capital market operators, government agencies, and development finance institutions in unlocking the full potential of market-based financing for Nigeria’s electricity sector.

“I encourage all stakeholders, regulators, policymakers, investors, and market operators to deepen their collaboration and leverage the capital market as a catalyst for transforming Nigeria’s electricity sector. By working together, we can build a more competitive, transparent, and investor-friendly electricity marketplace,” he said.

Agama further noted that the SEC is committed to facilitating the listing of energy companies on the Nigerian Exchange to enhance liquidity, strengthen corporate governance, and expand investment opportunities in the power sector.

He assured that SEC would continue implementing policies to ensure a stable, efficient, and well-regulated market for investors and issuers alike.