Tinubu inaugurates Committee to launch GAMCO, fix Nigeria’s troubled Power Grid

By Kazeem Ugbodaga

President Bola Tinubu has inaugurated an 11-member committee to facilitate the establishment of the Grid Asset Management Company Limited (GAMCO), a new initiative aimed at addressing long-standing inefficiencies in Nigeria’s electricity transmission system.

The committee was constituted following the approval of the proposal by the Federal Executive Council during its meeting on Wednesday.

The Chief of Staff to the President, Femi Gbajabiamila, who inaugurated the committee on behalf of the president on Friday, described the initiative as a major step towards transforming the country’s power sector, particularly the grid and transmission segments.

According to him, the proposed company is designed to optimise electricity generation and improve the management of transmission infrastructure, which has long constrained the delivery of power across the country.

“The proposed establishment of GAMCO is one of the revolutionary steps taken by Mr President and this administration in the all-important power sector,” Gbajabiamila said.

He urged members of the committee to align with the president’s vision and focus on delivering on the committee’s mandate.

The committee has been tasked with conducting a comprehensive review of existing laws, regulations and policies governing Nigeria’s electricity value chain, including generation, transmission, distribution and market operations.

It will also assess the implications of the Electricity Reform Laws 2025 on asset ownership, management and regulatory oversight, while identifying any conflicts or inconsistencies between the proposed GAMCO framework and current legal and regulatory instruments.

Part of its mandate includes examining the legal status and contractual obligations of assets owned by the Niger Delta Power Holding Company and the National Integrated Power Project, particularly the Omotosho, Olorunshogo and Ihovbor power plants earmarked for the pilot phase of the initiative.

The committee will also evaluate the interface between GAMCO and the statutory responsibilities of the Nigerian Electricity Regulatory Commission, as well as assess the fiscal and market implications of the proposal, including subsidy exposure, market liquidity and revenue frameworks.

In addition, the panel will determine whether the operationalisation of GAMCO requires amendments to existing legislation, subsidy regulations or executive directives.

Gbajabiamila will chair the committee, while members include the Attorney-General of the Federation and Minister of Justice, as well as the Ministers of Power, Works and Finance.

Other members are the Ministers of Communication and Digital Economy; Science, Technology and Innovation; Aviation and Aerospace Development; and the Minister of State for Petroleum, alongside the Chairman of the Nigeria Revenue Service and energy expert Professor Yemi Oke.

The Permanent Secretary, Cabinet Affairs Office, Dr John Chidiebere Ezeamama, will serve as secretary of the committee.

The Federal Government will fully own GAMCO as a commercial entity, with its shares held by the Ministry of Finance Incorporated.

The initiative is designed to recover and optimise stranded power generation, beginning with the Benin–Lagos transmission corridor as the pilot phase.

The corridor supplies electricity to Lagos State and Ogun State, the country’s largest industrial and commercial hubs.

During the pilot phase, the company will focus on improving output from three National Integrated Power Project plants: Omotosho with an installed capacity of 513 megawatts, Olorunshogo with 754 megawatts, and Ihovbor with 508 megawatts.

GAMCO is projected to recover at least 1,600 megawatts of electricity within 18 to 24 months, alongside the construction of a new high-capacity 330KV double-circuit transmission line along the corridor.

The government expects the initiative to unlock stranded capacity, improve power reliability and establish a scalable model for grid stabilisation and expansion across other transmission corridors nationwide.

Officials say the project will ultimately support industrial productivity, attract investment and strengthen electricity supply for households, in line with the administration’s economic agenda.