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ARTICLE · 20 JUNE 2023

Power Sector Watch - Special Edition (Volume 4)

KPMG in Nigeria
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Nigeria's power sector has continued to grow even though some may argue that the rate of growth is still below the required level. The commercial framework for the sector has however remained an issue.

NigeriaEnergy and Natural Resources
Ayo Salami
Ayo Salami
Ayo Soyinka
Ayo Soyinka
Martins Arogie
Martins Arogie

A summary of available incentives for players in the power sector

Nigeria's power sector has continued to grow even though some may argue that the rate of growth is still below the required level. The commercial framework for the sector has however remained an issue. The power sector is highly capital intensive as large amounts of investment are required for acquisition and installation of equipment and machinery, construction of power plants and transmission lines, as well as regular maintenance and upgrades of the equipment and machines to ensure that they meet increasing demands. Therefore, players in the sector continue to advocate for more incentives which they believe may impact the commercial framework and aid growth. Notwithstanding, there are already some incentives available to players in the sector and this newsletter seeks to introduce a few of them for consideration.

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