Frequent Power Cuts, Poor Internet Put Nigerian Innovation Hubs at Risk – Report

A new nationwide report has warned that Nigeria’s innovation hubs are increasingly struggling to survive due to persistent electricity outages, weak internet services, and limited funding.

The assessment, presented in Abuja by the Innovation Support Network (ISN), found that many tech and entrepreneurship hubs—key drivers of startups, skills development, and job creation—are operating under severe infrastructure and financial pressure.

According to ISN Board Chairman Hanson Johnson, while the Federal Government’s Nigeria Startup Act is a positive step, many states have yet to adopt or implement it, limiting its impact at the grassroots level. He noted that innovators continue to face regulatory hurdles, including high licensing costs and limited access to testing environments for new technologies.

The report revealed that over 70% of innovation hubs operate on budgets below $50,000 annually, making them financially fragile despite their growing importance in Nigeria’s digital economy. It also highlighted that more than 60% of hubs experience frequent power disruptions, forcing them to rely on costly alternative energy sources.

Other challenges include unstable internet connectivity and difficulty retaining skilled technical staff, which further weakens operational capacity.

The study, which covered more than 190 active hubs out of over 250 identified nationwide, shows that Lagos remains the leading innovation cluster, followed by Abuja, Kano, Kaduna, Enugu, Rivers, and Abia states.

It also found that most hubs are relatively small, with nearly 68% employing fewer than 10 full-time staff. Despite this, about 90% offer training programmes and 60% provide mentorship to startups and entrepreneurs.

Officials from the Office for Nigerian Digital Innovation (ONDI) and development partners including GIZ and the European Union described innovation hubs as essential to linking talent with opportunity and driving economic growth.

Stakeholders urged stronger government and private-sector investment, especially in reliable electricity, renewable energy solutions, and better digital infrastructure, to ensure the survival and expansion of Nigeria’s innovation ecosystem.

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