Electricity: FG propose ₦1.096trn for Electricity Capital Projects in 2026 Budget
Electricity: FG propose ₦1.096trn for Electricity Capital Projects in 2026 Budget
The Federal Government has proposed N1.096 trillion for capital projects in the power sector as part of the 2026 appropriation bill.
This significant investment aims to address infrastructure gaps and improve electricity supply across the country, particularly in underserved regions.
The Rural Electrification Agency (REA) emerged as the primary beneficiary, receiving the largest share of N502.21 billion to expand energy access to rural communities.
Meanwhile, the Federal Ministry of Power has been allocated N416.748 billion to oversee major capital initiatives and grid improvements.
Beyond capital projects, the government has budgeted N10.379 billion for recurrent expenditure, covering personnel and overhead costs.
When combined with the capital investment, the total proposed funding for the power sector reaches approximately N1.107 trillion for the 2026 fiscal year.
A key focus of the budget is the distribution expansion program, which seeks to utilize “stranded power” that is currently generated but cannot reach consumers.
To support this, N400 million has been designated for each of the six geopolitical zones to enhance local distribution networks and grid efficiency.
Specific regional projects were also highlighted, including several initiatives in Delta State such as a mini-grid for Delta University, Agbor, and a dedicated power line for the Federal University of Petroleum Resources, Effurun.
These projects reflect a targeted approach to improving power reliability for educational and strategic institutions.
