Digital Innovation Can Transform Nigeria’s Energy Landscape

An energy expert has said that the convergence of renewable energy and digital innovation could help Nigeria build a more reliable and sustainable power sector.

The Country Sales Director, Process Automation and Software for English-speaking Africa at Schneider Electric, Elijah Daniel, said digital transformation is becoming critical as Nigeria grapples with limited and unreliable electricity supply. Citing data from the National Bureau of Statistics (NBS), he noted that just over 60 per cent of Nigerians currently have access to grid-connected electricity, while those connected experience erratic supply averaging less than seven hours daily.

Daniel said technologies such as the Internet of Things (IoT), advanced analytics, digital control systems and Software as a Service (SaaS) platforms are increasingly essential in managing the country’s evolving energy landscape. According to him, these digital tools support substation automation, load forecasting and energy monitoring, helping to optimise power distribution, enable proactive maintenance and reduce system downtime.

He explained that in embedded generation systems—where businesses combine renewable energy with gas or grid supply—digital controls allow seamless switching between energy sources to prevent outages. A digital layer, he added, ensures that systems can determine when grid power is available and when to rely on solar or battery reserves to maintain continuous supply.

Daniel described SaaS as a particularly promising model, noting that it reduces the need for heavy upfront capital expenditure by allowing energy providers to subscribe to software platforms that support operational management. However, he stressed that wider adoption of SaaS in Nigeria depends on localisation, including integration with local payment systems, as well as investment in training, support ecosystems and modular deployment aligned with national policies.

He said meaningful progress in the power sector would require the alignment of government policy, electricity tariffs and infrastructure investment. Daniel explained that Nigeria’s electricity network operates through generation, transmission and distribution, with power generation largely dependent on natural gas, alongside hydro and a growing but still marginal share of renewables. Transmission is handled by the government-owned Transmission Company of Nigeria (TCN), while distribution is managed by privatised regional distribution companies serving industrial, commercial and residential consumers.

Daniel added that policymakers are increasingly supporting decentralised energy solutions such as mini-grids and embedded generation to improve access and reliability. He said this approach aligns with Nigeria’s Energy Transition Plan, which targets net-zero emissions by 2060 and prioritises the expansion of renewable energy, particularly solar, to underserved communities. According to him, scaling renewable energy will require improved coordination, modernisation and robust digital infrastructure to ensure efficient and sustainable operations.