Tinubu sets up committee to establish Grid Asset Management Company

President Bola Ahmed Tinubu has inaugurated an 11-member committee to oversee the incorporation of the Grid Asset Management Company Limited (GAMCO), a new entity aimed at improving Nigeria’s electricity transmission system.

The development was disclosed in a statement issued by the president’s Special Adviser on Information and Strategy, Bayo Onanuga.

According to the statement, the committee was inaugurated on Friday by the president’s Chief of Staff, Femi Gbajabiamila, following the approval of the company’s creation by the Federal Executive Council.

Officials said the initiative is expected to address long-standing structural challenges in Nigeria’s power sector, including stranded electricity generation, transmission bottlenecks and inefficiencies in grid management.

The committee has been tasked with ensuring the smooth establishment of GAMCO, which the government plans to deploy as a vehicle for optimising electricity generation and transmission infrastructure.

As part of its responsibilities, the committee will conduct a comprehensive review of existing laws, policies and regulations affecting the electricity sector, including the implications of the Electricity Reform Laws introduced in 2025.

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It will also examine asset ownership structures and assess the legal and operational status of the Niger Delta Power Holding Company and the National Integrated Power Project plants.

Plan to recover stranded power

The government said GAMCO is designed to recover and optimise stranded electricity along the Benin–Lagos transmission corridor by mobilising private capital and strengthening asset management practices.

Authorities expect the pilot phase of the project to recover at least 1,600 megawatts of stranded power within 18 to 24 months.

Plans also include constructing a new 330kV double-circuit transmission line along the corridor, which supplies electricity to major industrial and commercial centres across Ogun State and Lagos State.

The Federal Government will fully own the company through the Ministry of Finance Incorporated.

Officials said that if the model proves successful, it will be expanded to other power plants and transmission corridors to strengthen the country’s electricity backbone.

Nigeria’s power sector continues to face persistent reliability challenges despite years of financial interventions.

The country experienced two national grid collapses in December 2025, disrupting electricity supply across several states and affecting economic activities.

In response to the ongoing crisis, the Federal Government has introduced a number of reforms, including a ₦4 trillion bond programme designed to clear legacy debts owed to electricity generation companies and gas suppliers.

Authorities believe initiatives such as GAMCO will help stabilise the transmission network, improve power reliability and support broader economic growth.