NISO implements grid segmentation to prevent nationwide power collapses

The Nigerian Independent System Operator (NISO) has unveiled a major reform plan to segment the national electricity grid in a bid to reduce system collapses and improve overall stability.

Speaking at its first anniversary event in Abuja, the agency’s Managing Director and CEO, Mohammed Bello, said the new strategy, known as “grid islanding”, will divide the national grid into smaller operational sections. This approach is designed to isolate faults within specific zones so that disruptions in one area do not trigger nationwide blackouts.

The initiative forms part of broader reforms under the Electricity Act 2023, which gave NISO responsibility for system operations, market coordination, and planning within Nigeria’s electricity sector.

Grid “islanding” to limit nationwide blackouts

According to Bello, the segmentation plan represents a shift away from a centralized grid model toward a more resilient, regionally controlled system. Under the new framework, faults would be contained within “islands” of the grid, allowing unaffected sections to continue operating.

He explained that this would significantly reduce the frequency and scale of national system collapses, which have long disrupted electricity supply and economic activity across the country.

NISO also highlighted ongoing improvements in grid monitoring and operational discipline, including enforcement of the “Free Governor Mode” for generating plants, which helps stabilize grid frequency by improving real-time response from power stations.

The agency acknowledged, however, that compliance from generation companies remains inconsistent, and said enforcement mechanisms will be strengthened to ensure better adherence to operational standards.

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Digital upgrades, lower losses, and regional integration

Beyond grid restructuring, NISO says it is investing heavily in digital monitoring systems, including Supervisory Control and Data Acquisition and Energy Management Systems (SCADA/EMS). These tools are intended to modernise grid operations by shifting from manual oversight to real-time, data-driven control.

The agency is also deploying telemetry and Internet of Things (IoT) devices across generation stations, transmission points, and substations to improve visibility across the entire electricity value chain.

One of the most notable reported gains is a reduction in transmission losses, from nearly 10% previously to about 7%, a change NISO says has saved billions of naira monthly. The agency is targeting further reductions of between 5% and 6% in line with regulatory benchmarks.

In addition, NISO announced progress on regional power integration, including successful trial synchronisation with the West African Power Pool. This development could eventually allow Nigeria to trade electricity across borders, improving supply flexibility and potentially generating foreign exchange revenue.

Despite these advances, the agency acknowledged ongoing challenges such as infrastructure gaps, market liquidity constraints, and compliance issues across the electricity sector.

Looking ahead, NISO says its focus will be on strengthening grid stability, improving market efficiency, and expanding renewable energy integration, with success ultimately measured by a more reliable national grid and stronger investor confidence in Nigeria’s power sector.