HomeNewsDelta's Hospitality Sector Battles with Crippling Power Supply Issues

Delta’s Hospitality Sector Battles with Crippling Power Supply Issues

Published on

Hotel owners in Delta State, Nigeria, are raising alarm over the crippling effects of inconsistent electricity supply, particularly impacting key business areas like Uvwie, Warri, Sapele, Ughelli, and Udu. The crux of the problem, they allege, lies in power racketeering activities involving officials from the Transmission Company of Nigeria (TCN) and Benin Electricity Distribution Company (BEDC) Plc. This malpractice involves the diversion and sale of electricity, designated for commercial use, to residential areas by the highest bidders, further exacerbating the challenges faced by the hospitality sector.

The dire situation has seen a drastic reduction in power availability, with a “33 line”—a power line dedicated to supporting businesses such as hotels and industries—from an expected 18 hours of electricity supply to scarcely six hours or less each day. Over the past four months, there’s been a significant downturn in the electricity provision, leaving hotels and other businesses to rely heavily on diesel and fuel generators for operations. This shift has inflated operational costs to unsustainable levels.

Austin Wareyai, CEO and Chairman of Lascurt International Hotel located in Uvwie, spoke on behalf of the hoteliers, pinpointing electricity racketeering by TCN officials as a primary cause of their distress. Wareyai highlighted the severe financial strain businesses are under, with the majority of their revenue being funneled into procuring diesel for power generation, rendering them unable to cover even basic expenses like workers’ salaries.

Despite the lack of power supply, businesses also grapple with exorbitant electricity bills, adding insult to injury. Wareyai has called upon Delta State’s Governor, Hon. Sheriff Oborevwori, to intervene by ensuring that the TCN and BEDC Plc deliver on their mandate to supply electricity, particularly to business districts. He has urged the state government to explore and provide alternative power solutions, similar to initiatives recently observed in Aba, Abia State.

The hospitality industry, a significant employer in Delta State, faces a bleak future if these power supply issues persist. With hotels on the brink of closure and employees facing months without pay, there’s an escalating threat not only to the economy but also to the social stability of the region. Wareyai’s plea for government action underscores the urgency of the situation, emphasizing the need for immediate and effective solutions to safeguard the hospitality industry and by extension, the livelihoods of thousands of Delta State residents.

Latest articles

Senator Ndume says Nigeria can end insecurity in 6 months if FG gets serious

Senator Ali Ndume says Nigeria can end insecurity within six months if the federal government shows genuine commitment and arms its soldiers properly.

Nigeria’s power sector cost government N418bn in subsidies as losses topped N300bn in Q4 2025

Nigeria's electricity regulator says the federal government absorbed N418.79bn in power subsidies in the fourth quarter of 2025, as sector losses exceeded N300bn.

Nigeria recorded 3.38 million internally displaced persons across 14 states in 2023, NBS report shows

Nigeria recorded 3,381,228 internally displaced persons across 14 states in 2023, with Borno State accounting for more than half of all cases.

Boko Haram kills colonel and 6 soldiers in Borno as herdsmen attacks leave 14 dead in Benue

A Nigerian Army colonel and six soldiers were killed in a Boko Haram attack in Borno State on April 12, 2026.

More like this

Senator Ndume says Nigeria can end insecurity in 6 months if FG gets serious

Senator Ali Ndume says Nigeria can end insecurity within six months if the federal government shows genuine commitment and arms its soldiers properly.

Nigeria’s power sector cost government N418bn in subsidies as losses topped N300bn in Q4 2025

Nigeria's electricity regulator says the federal government absorbed N418.79bn in power subsidies in the fourth quarter of 2025, as sector losses exceeded N300bn.

Nigeria recorded 3.38 million internally displaced persons across 14 states in 2023, NBS report shows

Nigeria recorded 3,381,228 internally displaced persons across 14 states in 2023, with Borno State accounting for more than half of all cases.