AN APPRAISAL OF THE IMPACT OF THE ELECTRICITY POWER SECTOR REFORM PROJECT ON INDUSTRIALIZATION IN NIGERIA

Abstract

This paper examines the effect of the electricity power sector reform Act on industrialization in Nigeria. Power has been a recurring problem in Nigeria in what has been commonly referred to as the electricity gap. The federal government of Nigeria came up with a comprehensive legislation to boost power supply. The implementation of this legislation has led to a partial privatization of the hitherto fully state-owned parastatal that was responsible for electricity generation and supply. The paper examines the outcome of the Electricity Power Sector Reform Act (EPSRA), 2005 on the rate and level of industrialization in Nigeria. It was found that the Act has not, in any way, significantly improved electricity supply in Nigeria. Consequently, Nigerian industries are still groaning under increased cost of production occasioned largely by epileptic power supply. The absence of prepaid digital meters for the billing of many electricity consumers has also worsened the plight of industries that use electricity, and which are forced to pay for electricity supplied under an estimated billing system. The study adopted the doctrinal research approach.