THE IMPACT OF ELECTRICITY SUPPLY ON ECONOMIC GROWTH IN NIGERIA FROM 1990-2024

The main objective of this study is to examine the impact of electricity supply on economic growth in Nigeria. This study focuses on the effect of electricity supply on economic growth in Nigeria spanning from 1990-2024. A methodological research approach and design is a framework that binds research together so that, the research questions can be analysed effectively All the data used in this study are generated directly from Central Bank of Nigeria (CBN) Statistical Bulletin Vol 22. (December 2015), and CBN Annual Report and Statement of Accounts which spans the period (1980-2014), 35 years which is considered large enough and it will not experienced from small sample bias problem The study found that there is negative relationship between expenditure on electricity infrastructure and real gross domestic product, the implication of this is that government expenditure on electricity has not been yielding positive effect on the economic growth and development. Despite the huge money which government claimed she is spending on the economy on power sector, this study found that it has not been yielding effect on the economic growth. It was discovered that a percent increase in government expenditure has resulted on average decrease in real gross domestic product in Nigeria; this is a reflection that the huge money allocated to the energy sector might have been embezzled. It is recommended that, Government should design policies that enhance the productive capacity of the real sector through appropriate energy supply that can aid the economic activities of the real sector, The study also recommends that; the Nigerian Government should therefore build more thermal stations and try as much as possible to increase the capacity utilized of the existing one.