Nigerian Businesses Face Billions in Losses Due to 25-Day Power Blackout

Harmony ifeanyi
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A 25-day power outage has hit Lagos and Ogun States, with businesses expected to lose hundreds of billions of Naira. The blackout, scheduled from July 28 to August 21, 2025, will affect daily operations, productivity, and revenue.

Causes and Impact
The outage is due to maintenance work on the Omotosho-Ikeja West 330kV transmission line by the Transmission Company of Nigeria (TCN). According to Dr. Muda Yusuf, CEO of the Centre for the Promotion of Private Enterprise (CPPE), the cost implication of the blackout will be enormous for business owners, residents, and the Nigerian economy.

- *Losses in the Hundreds of Billions*: The blackout is expected to result in significant pressure on energy costs for businesses and manufacturers, impacting productivity and profitability.
- *Disruption to Key Sectors*: Manufacturing, banking, and fintech will be severely affected, with potential losses running into billions of Naira.
- *Increased Operational Costs*: Businesses relying on grid electricity will have to shift to alternative power sources like diesel and gas, increasing their operational costs ¹ ².

Affected Areas
The blackout will affect several areas in Lagos and Ogun States, including ²:
- *Lagos State*: Apapa, Lagos Island, Lekki, Victoria Island, Mushin, Alimosho, Ikeja, Ojodu, Surulere, and other key business districts.
- *Ogun State*: Agbara Industrial Layout and surrounding towns.

Coping Strategies for Businesses
To mitigate the impact of the blackout, businesses can consider:
- *Switching to Solar and Inverter Systems*: Clean, cost-effective alternatives to diesel generators for daytime operations.
- *Adjusting Operating Hours*: Shifting work hours to evenings or weekends to avoid power downtime.
- *Enabling Remote Work*: Reducing office reliance by enabling remote operations for staff.
- *Using Power Backup Systems*: Battery-powered uninterruptible power supplies (UPS) and power banks to keep essential devices online ².
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