- Lagos Signs Gas Supply Deal to Achieve 6,000MW Electricity Target
- Targets Affordable Power
- Unveils LAISO Leadership
The Lagos State Government has signed a Strategic Framework for Gas Supply and Energy Development with the Gas Aggregator Company of Nigeria Limited/GTE (GACN) as part of efforts to achieve its target of generating 6,000 megawatts of electricity.
Eko Hot Blog reports that the agreement is expected to guarantee gas supplies for power projects at less than half the prevailing market gas-to-power price, while boosting electricity generation across the state.
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Governor Babajide Sanwo-Olu described the framework as a practical and enforceable plan that goes beyond the signing of a document, noting that it lays the foundation for definitive gas supply and off-take agreements aimed at ensuring affordable and reliable energy for Lagos residents.
Represented by his deputy, Dr. Kadri Obafemi Hamzat, at the signing ceremony held at Lakowe Lakes Resort in Ibeju-Lekki, the governor said the initiative aligns with the Lagos Independent Electricity Policy and Strategic Implementation Plan as well as the state’s THEMES Plus agenda.
According to him, dependable electricity remains critical to key sectors, including transportation, healthcare, education and economic development.
Sanwo-Olu noted that the agreement addresses one of the major challenges confronting electricity generation in Lagos, namely the availability and high cost of gas required to power generating plants.
He explained that the framework would ease constraints facing Independent Power Producers (IPPs) by guaranteeing access to affordable and reliable fuel supplies, thereby encouraging the development and operation of power projects with greater certainty.
The governor added that the initiative would support the decentralised electricity market being developed by the state government, attract private sector investment, increase competition and bring electricity closer to homes and businesses.
Commissioner for Energy and Mineral Resources, Biodun Ogunleye, said the partnership would play a vital role in advancing the Clean Lagos Electricity Market (CLEM), a state government initiative designed to bridge the state’s significant electricity deficit.
Managing Director of GACN, Chijioke Uzoho, expressed confidence in the viability of the project, assuring stakeholders that the company remains committed to ensuring its successful implementation.
Meanwhile, the state government has constituted the governing board and management team of the Lagos State Independent System Operator (LAISO), established under the Lagos State Electricity Law 2024 to oversee the efficient, transparent and secure operation of the state’s electricity market.
The governing board is chaired by Ogunleye, with Prof. Lanre Fagbohun serving as vice chairman. Other members include Abayomi Oluyomi, Ibilola Kasunmu, Muktaar Tijani and Dr. Oladimeji-Yisa Taiwo, who also doubles as the managing director.
The management team comprises Dr. Oladimeji-Yisa Taiwo as Managing Director, Adetunji Bashiru Adesanya as System Operator and Bunmi Benson as Market Operator.
The government urged stakeholders and electricity market participants to support the new leadership as it works toward strengthening the Lagos Electricity Market and delivering a resilient and sustainable energy future for the state.
