The Nigerian Electricity Regulatory Commission (NERC) has intensified its oversight of the Supervisory Control and Data Acquisition (SCADA) project, a critical real-time monitoring system designed to end the “national embarrassment” of recurring grid collapses. Speaking at the 2026 NERC Seminar for Judges in Abuja on February 10, NERC Chairman Dr. Musiliu Oseni revealed that the commission is now mandating the full integration of all Generation Companies (GenCos) into the SCADA/EMS platform.
This move comes as the national grid recorded its first total system failure of 2026 on January 23, followed by a second collapse on January 27, which saw power generation plummet to 0.00 megawatts nationwide.
The double collapse in late January saw the grid lose over 4,500 megawatts in minutes, leaving all 11 Distribution Companies (DisCos) with zero load allocation and forcing the Transmission Company of Nigeria (TCN) into a frantic recovery process. Dr. Oseni noted that during this period, Nigerian power plants operated at only 36% of their installed capacity, a deficit worsened by the lack of automated visibility into the network.
By enforcing the SCADA mandate, NERC aims to equip the newly established Nigerian Independent System Operator (NISO) with the digital tools needed to detect “frequency excursions” and isolate localized faults before they trigger a total national blackout.
Beyond the technical hurdles, the drive for grid stability is colliding with a massive fiscal overhaul. During a public hearing on the 2026 Appropriation Bill at the National Assembly, the Senate Committee on Appropriations, chaired by Senator Solomon Olamilekan Adeola, made a definitive call for the complete removal of electricity subsidies.
The committee argues that the federal government can no longer sustain the ₦1.2 trillion annual subsidy bill, which is currently planned as a first-line deduction from the Federation Account. Lawmakers contend that removing this “financial drain” is the only way to fund the $22 billion infrastructure deficit required to modernize the aging transmission network.
The urgency for SCADA is compounded by the decentralization of the Nigerian power market. As of early 2026, NERC has officially transferred regulatory oversight to state agencies in Gombe, Lagos, and Edo, with others expected to follow. This “multi-tier” market means that if a state-level utility experiences a fault, a functional SCADA system is the only way to prevent that localized issue from dragging down the entire national backbone.
Chief Justice of Nigeria, Hon. Justice Kudirat Kekere-Ekun, remarked that this transition will significantly increase the volume of complex electricity-related litigation, making judicial understanding of these technical systems essential for sector stability.
Financial Implications For 2026
Under the “Budget of Consolidation,” the Federal Government is moving toward a shared-cost model where states and local governments will bear a portion of any remaining “affordability interventions.” This policy shift, coordinated through the Power Consumer Assistance Fund (PCAF), marks the end of open-ended federal liabilities.
While the ₦22 billion SCADA investment is expected to be fully commissioned by July 2026, the combined pressure of subsidy removal and the transition to cost-reflective tariffs means that consumers may face higher monthly bills even as the grid becomes more reliable.
 has intensified its oversight of the Supervisory Control and Data Acquisition (SCADA) project, a critical real-time monitoring system designed to end the "national embarrassment" of recurring grid collapses. Speaking at the 2026 NERC Seminar for Judges in Abuja on February 10, NERC Chairman Dr. Musiliu Oseni revealed that the commission is now mandating the full integration of all Generation Companies (GenCos) into the SCADA/EMS platform.){kind=link}