ABUJA — In a major push to overhaul Nigeria’s struggling energy sector, President Bola Ahmed Tinubu has officially inaugurated an 11-member committee to oversee the establishment of the Grid Asset Management Company Limited (GAMCO).
The new entity is designed to be a “quick-fix” solution to the country’s chronic transmission failures and the problem of “stranded power”—electricity that is generated but cannot reach consumers due to a weak national grid.
A Revolutionary Step in Power Reform
Chief of Staff Femi Gbajabiamila, who inaugurated the committee on the President’s behalf, characterized GAMCO as a transformative initiative aimed at optimizing the country’s entire electricity value chain. The company will operate as a fully government-owned commercial venture, with its shares managed by the Ministry of Finance Incorporated.
“The proposed establishment of GAMCO is one of the revolutionary steps taken by this administration to optimize and revolutionize power generation, and in particular, the grid and transmission sector,” Gbajabiamila stated.
Key Objectives and Pilot Phase
The committee’s immediate mandate is to facilitate the transition of critical power assets into GAMCO’s portfolio. The initiative will kick off with a pilot phase focusing on the Benin-Lagos transmission corridor—Nigeria’s most vital industrial and commercial axis.
Targeted Assets for the Pilot Phase:
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Omotosho Power Plant: 513 MW capacity
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Olorunsogo Power Plant: 754 MW capacity
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Ihovbor Power Plant: 508 MW capacity
By focusing on these National Integrated Power Project (NIPP) plants, the government aims to recover at least 1,600 megawatts of stranded electricity within the next 18 to 24 months.
Navigating the Legal Landscape
The committee, chaired by Gbajabiamila and including the Attorney-General and the Ministers of Power and Finance, faces a complex regulatory task. Their responsibilities include:
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Legislative Review: Aligning the new company with the Electricity Reform Laws of 2025.
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Asset Management: Clarifying the legal status and contractual obligations of assets currently held by the Niger Delta Power Holding Company (NDPHC).
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Regulatory Harmony: Ensuring GAMCO’s operations do not overlap or conflict with the statutory powers of the Nigeria Electricity Regulatory Commission (NERC).
The “Renewed Hope” for Energy
This reform aligns with the administration’s “Renewed Hope” agenda, which views reliable energy as the backbone of industrial productivity and job security. By modernizing transmission evacuation and introducing disciplined asset management, the government hopes to finally stabilize the grid and boost investor confidence in Nigeria’s energy market.
