Nigeria, July 12 -- Nigeria's power sector is still plagued by persistent structural inefficiencies. Political slogans and patchwork solutions will not solve the problem. Nigeria lacks a strong regulatory framework that is clearly defined and built on performance indicators. With a population of more than 200 million people and a soaring demand for energy, the system has reduced investment, stopped the delivery of services, and wasted the public's energy. Worldwide, one good example can be found in Britain, whose electric power market, albeit operating in a liberalised and disciplined framework, is still overseen by the independent Office of Gas and Electricity Markets (Ofgem).

The organisational goals of Ofgem include consumer protectio...