The Lagos Chamber of Commerce and Industry (LCCI) has warned that persistent national grid collapses are posing a significant threat to manufacturers, micro, small and medium enterprises (MSMEs) and Nigeria’s broader business environment.
The chamber’s Director-General, Dr. Chinyere Almona, highlighted the risks in a statement released on January 27, 2026, following multiple power system failures in recent days.
Almona said the recurrence of grid collapses within a short timeframe reflects deep structural and operational weaknesses in the power transmission system and comes at a critical moment as the economy seeks to transition from crisis management to consolidation in 2026.
She noted that without urgent action, Nigeria could experience “tens of grid collapses in 2026” under a business-as-usual scenario.
The chamber pointed to the second national grid collapse within five days as underscoring the fragility of the country’s power infrastructure and the exposure of businesses to unpredictable outages.
LCCI said repeated grid failures impose severe costs on businesses through lost production hours, damaged equipment, increased reliance on self-generation, higher operating expenses and reduced competitiveness.
Grid instability has continued to affect Nigeria’s power sector in early 2026, with the national grid collapsing multiple times, including a total grid failure that led to widespread blackouts when generation and load allocation dropped to zero across distribution companies earlier in January.
Energy experts attributed recent collapses to system disturbances triggered by multiple transmission lines tripping and disconnections of generating units, signalling persistent technical weaknesses.
Almona urged the Federal Government to undertake urgent structural reforms and system upgrades, including a forensic audit of the national grid’s transmission infrastructure, system protection schemes, operational protocols and governance structures.
She argued that such actions are vital to halt recurrent system failures and restore grid reliability benchmarks required for economic consolidation.
The LCCI warning aligns with long-standing concerns among private sector stakeholders about the impact of Nigeria’s unstable power supply on industrial and economic performance.
Repeated grid failures have forced manufacturers and MSMEs to rely heavily on costly alternative power sources, such as diesel generators and solar systems, driving up production costs and eroding competitiveness.
Analysts note that persistent power unreliability remains a fundamental constraint on Nigeria’s industrial growth and investor confidence.
MSMEs, which account for a significant share of business activity and employment in Nigeria, have previously been highlighted as vulnerable to infrastructure deficits, including unreliable power, high operating costs and access to financing.
Structural weaknesses in the power system have been repeatedly cited as a key barrier to business sustainability and expansion.
LCCI’s appeal for decisive action underscores the broader policy debate on the need for sustained investment, improved governance and technical reforms in Nigeria’s power sector.
Without improvements in grid stability, the chamber warned that efforts to boost manufacturing output, enhance MSME resilience and drive economic consolidation may continue to be constrained by energy instability.
