Festac small businesses groan under erratic power supply
Lagos, April 2026 (TBL Africa) Some small business owners in Festac Town in Lagos have decried persistent erratic electricity supply, saying it is undermining operations and increasing reliance on costly alternative power sources.
The entrepreneurs, who spoke in separate interviews on Tuesday in Lagos, expressed concern over inconsistent supply by Eko Electricity Distribution Company (EKEDC).
Many operators in the Festival of Arts and Culture (Festac) Town said they receive only a few hours of electricity daily, which made it difficult to run businesses efficiently and meet customer demands.
They noted that the rising cost of fuelling generators, alongside investments in alternative energy solutions such as inverters and solar systems, had further strained their finances.
Mr Olakunle Fadipe, a bar owner, said his business relies heavily on stable power supply, noting that outages affect both operations and customer experience.
“Erratic electricity affects refrigeration, lighting, and the overall customer experience. Drinks get warm, the environment becomes uncomfortable, and customers leave early,” he said.
Fadipe said he now depends on a combination of solar-powered inverters and a gas-powered generator to sustain operations, adding that he had adjusted prices slightly to cushion rising costs.
He also noted that increasing operational expenses had forced him to reduce staff strength.
Similarly, Mr Adesina Aliyu, a barber, described electricity as critical to his trade.
“From clippers to air conditioners, fans and sterilising equipment, everything depends on power,” he said.
He attributed declining profits to the high cost of petrol used to run his generator, estimating his monthly fuel expenditure at about N40,000.
“After covering fuel and other expenses, little is left as profit,” he added.
Also, Mr Kesandu Onuoha, a dry cleaner, said unstable electricity had disrupted routine operations.
“Pressing clothes and operating washing machines without stable power is very challenging. I depend heavily on my generator,” he said.
He disclosed that he purchases petrol several times weekly, spending between N8,000 and N10,000 per refill, adding that rising costs had led to higher service charges and reduced workforce.
Mrs Beatrice Akata, a frozen foods trader, described the situation as severe, citing frequent losses due to power outages.
“If there is no electricity, everything I sell is at risk. I have lost goods several times because my freezer could not maintain adequate cooling,” she said.
Akata added that daily reliance on generators had significantly increased operating costs and reduced profit margins.
Festac, a major residential and commercial hub in Lagos, has continued to experience inconsistent electricity supply, with business owners calling for improved service delivery to support economic activities.
