The Lagos State Government has taken a major step toward improving electricity supply with the signing of three new power purchase agreements, alongside the introduction of a “no power, no pay” policy aimed at ensuring accountability in energy delivery.
Governor Babajide Sanwo-Olu announced that the agreements, signed at Lagos House, Marina, are part of ongoing efforts to close gaps in power supply and strengthen reliability across the state. The new policy ensures that payments will only be made for electricity actually delivered to public facilities, eliminating inefficiencies and waste.
Under the agreements, Fenchurch Power will supply electricity to critical water facilities in Adiyan and Iju. Mainland Power will continue serving areas including Ikeja, Oshodi, and Anthony, with plans for expansion, while Viathan will maintain stable electricity supply to key infrastructure on Lagos Island and improve integration with the wider distribution network.
The governor noted that the agreements have been updated to reflect current realities in the power sector, with a stronger focus on performance-based delivery and cost efficiency.
According to him, the initiative is expected to enhance power reliability for public infrastructure, optimise the use of government resources, and provide a clear pathway for scaling electricity capacity in the coming years.
