Power Reforms Will Continue Despite Zero 2025 Capital Release—Minister

The Minister of Power, Chief Adebayo Adelabu, has revealed that the Federal Ministry of Power operated without any capital allocation in the 2025 budget, but emphasised that the ministry continued to perform its supervisory and regulatory functions in the electricity sector despite the funding gap.

Adelabu disclosed on Wednesday during the budget defence session before the Senate Committee on Power at the National Assembly in Abuja.

He noted that while salaries and overhead costs were fully implemented, the ministry recorded zero capital expenditure due to the non-release of funds.

“There are three components to the budget, which are salaries and wages, overhead costs, and capital expenditure. The first two were achieved 100 per cent, but we recorded zero per cent on the capital component.

However, we have agencies under the ministry that generate revenues on their own and could carry on their work. This made it much easier for us to weather through the year,” Adelabu said.

The minister assured lawmakers that the Federal Government had taken steps to prevent fiscal lapses that hindered the 2025 capital budget’s implementation, promising improved performance in 2026.

He also reported that the national grid remained relatively stable throughout the year, with only one major disturbance caused by vandalism and gas supply disruption.

Senator Enyinnaya Abaribe, Chairman of the Senate Committee on Power, stressed the critical role of budgeting in ensuring transparency, accountability, and effective public sector management.

He emphasized that the electricity sector is vital for economic growth, industrialization, and diversification, and pledged ongoing oversight to ensure approved budgets are effectively implemented.

The session was attended by the ministry’s Permanent Secretary, Mamuda Mamman, and other senior officials.

The disclosure comes amid ongoing reforms in Nigeria’s power sector following the enactment of the Electricity Act, which decentralizes the sector and allows states to play a greater role in power generation and distribution.