The Lagos State Electricity Regulatory Commission has issued an electricity generation license to Elektron Energy Development Strategies Limited, strengthening the company’s role in the state’s emerging decentralized power market.
The license authorizes Elektron to generate electricity within Lagos and comes as its flagship Victoria Island Power project moves toward scheduled commercial operation in December 2026.
Elektron Chief Executive Tola Talabi described the approval as an important regulatory milestone and said it provided the foundation for the company to expand dependable power infrastructure for commercial and industrial users.
Victoria Island Power Phase 1 is a 40MW gas-fired embedded generation project being developed with Eko Power, formerly Eko Electricity Distribution Company. The project is designed to scale eventually to 70MW.
The facility is targeted at electricity-intensive customers on Victoria Island, including banks, hotels, telecommunications infrastructure and multinational offices.
Elektron said Wärtsilä generation engines had already been installed and supporting infrastructure was at an advanced stage. When operational, the plant is expected to supply round-the-clock electricity through about 12.6 kilometers of underground feeder network.
The company’s existing portfolio includes the 10.6MW Alausa Independent Power Project, which has supplied Lagos State government facilities since 2013, and a 7MW installation serving Rack Centre in Ikeja.
Elektron also has planned embedded-power projects at Sangrosse, Ogba, Ibeju-Lekki and Tokarawa.
The Victoria Island project is backed by institutional investors including ARM-Harith Infrastructure Fund, InfraCredit, the Nigeria Sovereign Investment Authority and the Bank of Industry, with Wärtsilä serving as EPC contractor and long-term operations partner.
The license aligns with Lagos State’s broader effort to attract private investment, expand embedded generation and reduce dependence on the national grid.
