The Federal Government has ordered an immediate investigation into massive power losses estimated at N120 billion along the 132kV Ikorodu–Sagamu industrial corridor.
The probe follows reports that up to 100 megawatts (MW) of electricity are being lost within this critical transmission segment, significantly undermining power stability for industries across Lagos and Ogun states.
The alarm was raised over the magnitude of these losses, which represent a substantial drain on the national grid and a direct financial blow to the energy value chain. The Federal Ministry of Power is coordinating the investigation to determine whether the losses are primarily technical, commercial, or a result of systemic negligence.
The 132kV Ikorodu–Sagamu corridor is a vital artery for Nigeria’s manufacturing sector. It serves as a primary link for bulk power transmission to some of the country’s largest industrial clusters, where hundreds of factories depend on a steady supply of electricity to maintain production cycles.
A loss of 100MW in a single corridor is considered critical, as it reduces the available capacity for end-users and forces industries to rely more heavily on expensive diesel-powered generators. This increase in operational costs directly impacts the pricing of manufactured goods and reduces the competitiveness of Nigerian products.
Industrial Productivity and Grid Inefficiency
The investigation focuses on the role of the Transmission Company of Nigeria (TCN) and the distribution companies operating within the zone. Technical losses typically occur due to aged infrastructure and inefficient transformers, while commercial losses often stem from energy theft and billing inaccuracies.
Industry analysts suggest that the scale of the loss indicates a potential failure in infrastructure maintenance. When power is lost at the transmission level, the financial burden is often shifted across the sector, contributing to the liquidity crisis that has plagued Nigerian Distribution Companies (DisCos) for years.
The N120 billion figure reflects the cumulative economic impact, including the value of unserved energy and the wasted cost of generation. This development occurs as the government attempts to stabilise the national grid, which has suffered several total collapses in recent years, disrupting economic activity nationwide.
The Nigerian Electricity Regulatory Commission (NERC) has previously pushed for the reduction of Aggregate Technical, Commercial, and Collection (ATC&C) losses to make the power sector viable. The Ikorodu–Sagamu leakage is a stark example of the gaps that still exist in the transmission network.
Manufacturers in the corridor have long complained about voltage fluctuations and unplanned outages. These instabilities damage industrial equipment and lead to costly production downtimes, adding further hidden costs to the N120 billion official estimate.
The government’s probe is expected to result in a forensic audit of the corridor’s equipment and a review of the operational protocols managed by the TCN. If the investigation reveals criminal negligence or systemic theft, the government has indicated that sanctions will be applied to the responsible parties.
The final report from the investigation will determine whether the corridor requires an emergency capital expenditure for equipment replacement or a complete redesign of the transmission flow to prevent further losses.
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