Nigeria is Africa’s most populous country and the seventh most populous country in the world. Lagos is the largest city with a population of over 17 million. The current Federal Republic of Nigeria consists of 36 states and 1 territory (Federal Capital) with the incumbent President Muhammadu Buhari having been in office since March 2015.
Classified as a lower middle-income country by the World Bank (WB), Nigeria has the second largest African economy (the 1st and 2nd places are contested between South Africa and Nigeria, depending on statistical options). Nigeria, however, still ranks significantly low on the Human Development Index (152 out of 187) and based on 2010 estimates, 46% of the population lived below the poverty line.
Since 1970 oil has been a dominant source of government revenue. The oil and gas sector accounted for 35% of the country’s Gross Domestic Product (GDP) and 90% of the total exports revenue. Nigeria has an estimated 5.28 Bn m³ of proven natural gas reserves, the country has one of the top ten natural gas resources in the world and the largest endowment in Africa. Nigeria has proven oil reserves of 37 Bn barrels. Despite the abundant resources it is important to note that Nigeria closed 2016 with its worst GDP growth rate in 25 years as low oil prices, tight monetary liquidity and militant attacks on oil infrastructure tilted the economy towards negative growth indices.
Nigeria participates in the ECOWAS Centre for Renewable Energy and Energy Efficiency (ECREEE). The national currency is the Nigerian Naira. Currently, the value of the Naira is very volatile. Although the Nigerian economy continues to grow, its energy sector is in crisis, with low generating capacity per capita and high losses (both technical and non-technical). Load shedding is common throughout the country, and all prudent businesses have standby generators. There are no statistics on captive generating capacity, but estimates are as high as 14-20 GW. The Nigerian government privatized the electricity sector in 2013 with the aim to improve the reliability of electricity supply. The process of restructuring of the sector continues and is expected to gradually improve the reliability of generation, transmission, and distribution.