Lagos is currently facing 25-day blackout and businesses to lose billions amid national grid maintenance.
NaijaOnPoint Nigeria reports that businesses, manufacturers, and banks in Lagos State and parts of Ogun are bracing for massive financial losses as a 25-day power outage begins, plunging Nigeria’s commercial hub into daily blackouts from July 28 to August 21, 2025.
Electricity distribution companies, Ikeja Electric and Eko Electricity Distribution Company (Eko DisCo), confirmed the development in separate statements last Friday, attributing the blackout to critical maintenance work on the Omotosho–Ikeja West 330kV transmission line by the Transmission Company of Nigeria (TCN).
Eko DisCo announced that the blackout would occur daily from 8:00 a.m. to 5:00 p.m., affecting several areas across Lagos and Agbara in Ogun State. Ikeja Electric, which serves most parts of Lagos, also issued a similar notice, signaling widespread disruption to power supply during peak business hours.
The blackout is expected to severely impact operations across the state, which is home to a majority of Nigeria’s commercial activities. Lagos reportedly spends an estimated N13 trillion monthly on electricity consumption, according to Biodun Ogunleye, Commissioner for Energy and Mineral Resources.
Data from the Nigerian Electricity Regulatory Commission (NERC) for Q1 2025 reveals that Ikeja Electric and Eko DisCo top national electricity revenue collections with N105 billion and N101 billion, respectively. However, the 25-day disruption will likely reduce their earnings while further straining Nigeria’s fragile power sector, already battling liquidity issues.
Speaking on the development, Dr. Muda Yusuf, CEO of the Centre for the Promotion of Private Enterprise (CPPE), warned that the economic implications of the extended outage would be enormous, especially for businesses reliant on 24-hour power such as hotels, supermarkets, hospitals, and manufacturers.
“The cost of shutting down grid supply for maintenance will be huge. Many businesses will be forced to rely on costly alternatives like diesel and gas, increasing operational costs and hurting productivity,” Yusuf said. “Power from the grid, despite high tariffs, remains cheaper than self-generated power. For nearly a month, businesses will face intense pressure, which could lead to shorter working hours and reduced output.”
He added that the blackout will result in economic losses running into hundreds of billions of Naira and could erode profits for many businesses in Nigeria’s financial epicentre.
Despite the setback, Yusuf commended the decision to invest in the grid’s maintenance, describing it as a necessary sacrifice to address longstanding weaknesses in Nigeria’s transmission infrastructure.
“The national grid has suffered from poor investment and ageing components. Grid failures have been frequent due to lack of maintenance. Strengthening it is long overdue, and while the short-term impact on businesses is massive, it’s a step towards long-term stability,” he stated.
With Lagos representing a significant share of the country’s electricity consumption and economic output, the blackout is set to test the resilience of businesses and expose the urgent need for sustainable energy solutions in Nigeria.