President Bola Tinubu has inaugurated an 11-member committee tasked with driving the creation of the Grid Asset Management Company Limited, an initiative aimed at resolving long-standing challenges in Nigeria’s power sector.
The committee was set up after the Federal Executive Council approved the establishment of the company as part of broader efforts to address stranded power generation, transmission constraints and inefficiencies in grid management.
Earlier, the Federal Executive Council had endorsed the creation of a Grid Asset Management Company to tackle persistent power transmission problems across the country.
Speaking during the inauguration on behalf of the President, the Chief of Staff, Femi Gbajabiamila, described the move as a significant reform in Nigeria’s electricity sector.
The Special Adviser to the President on Information and Strategy, Bayo Onanuga, disclosed this in a statement issued on Friday.
“The proposed establishment of GAMCO is one of the revolutionary steps taken by Mr President and this administration in the all-important power sector. We are here for the inauguration of the Committee on Grid Asset Management Company (GAMCO), which is basically to optimise and revolutionise power generation, and in particular, the grid and transmission sector,” he said.
Gbajabiamila urged members of the committee to remain committed to the President’s vision and to strictly follow the mandate given to them.
According to the statement, the committee will undertake a thorough review of existing laws, policies, regulations and institutional structures 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 frameworks and regulatory oversight, while identifying possible conflicts, overlaps or inconsistencies between the proposed GAMCO model and existing legal frameworks.
Among the key assets under consideration are facilities owned by the Niger Delta Power Holding Company and those under the National Integrated Power Project, particularly the Omotosho, Olorunsogo and Ihovbor power plants, which have been selected for the pilot phase of the project.
The committee will further review how the proposed company will relate with the Nigerian Electricity Regulatory Commission, including fiscal, financial and market implications such as subsidy exposure, market liquidity and revenue frameworks.
It will also determine whether establishing GAMCO will require amendments to existing laws, subsidy regulations or executive directives.
The committee is chaired by the President’s Chief of Staff and includes the Attorney-General of the Federation, Lateef Fagbemi, alongside 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.
Additional members include the Chairman of the Nigeria Revenue Service, energy expert Yemi Oke, and the Permanent Secretary of the Cabinet Affairs Office, John Chidiebere Ezeamama, who will serve as secretary.
The proposed Grid Asset Management Company Limited will operate as a fully government-owned commercial enterprise, with shares to be held through the Ministry of Finance Incorporated.
The project is designed to recover and optimise stranded electricity generation capacity using the Benin–Lagos transmission corridor as the pilot phase.
“The company will modernise transmission evacuation, starting from the most critical axis within Nigeria’s power system. The Benin-Lagos transmission corridor evacuates bulk power supply to Ogun and Lagos states, Nigeria’s largest industrial and commercial centres,” the statement said.
During the pilot phase, efforts will focus on improving output from the Omotosho (513MW), Olorunsogo (754MW) and Ihovbor (508MW) power plants.
“GAMCO projects to recover at least 1,600 MW within 18-24 months, alongside the development of a new high-capacity 330V+ double-circuit transmission line along the same corridor.”
The government noted that once the pilot phase proves successful, the model could be extended to other power plants and transmission corridors to support long-term stability of the national grid.
Officials explained that despite significant investments in power generation assets under the National Integrated Power Project, much of the capacity has remained underutilised due to operational inefficiencies and transmission evacuation limitations.
Under the proposed arrangement, the Niger Delta Power Holding Company will grant GAMCO concession and lease agreements for the three selected plants, while the Transmission Company of Nigeria will permit the development, financing and operation of a 330KV+ double-circuit transmission line along the Benin–Lagos corridor.
The Federal Government said the initiative is expected to enhance industrial productivity, safeguard jobs, strengthen investor confidence and improve household welfare in line with the administration’s broader economic agenda.
