Impact Of Power Generation On Economic Growth In Nigeria (1990-2017):- Omeihe Tochi C

ABSTRACT The instability cum fluctuation in power sector in most developing countries has posed a major threat to policy makers with respect to knowing the impact ofpower generation on economic growth in Nigeria. Thus, for many developing nations, the challenges ofpower generation has brought new realities with uncertain implicationsfor industrial output. Based on this, the researcher seeks to know the impact ofpower generation on economy growth in Nigeria 1990-2017. In analyzing the above research, the researcher adopted the following objectives including; to examine the impact of power generation on the economy of Nigeriabetween 1990-2017 and to determine the long run relationship between domestic output and power sector development in Nigeria. Thus, research questions and hypotheses were structured in accordance to with the specific objectives. However, in the quest to perfect this research; ex-post facto research design was adopted. Thus, the data gathered was analyzed using multiple regression. The analysis however made the followingfindings; that all the variables employedfor the study were not stationary at level, but atfirst differencing, all the variables became stationary. That a long-run relationship among the variables, that there are four integrating equation among the variables, as such the null hypotheses of no long-run relationship is neglected, that there is a significant relationship between power generation and economy development in Nigeria, the study made use of error correction model (ECM). The result ofthe ECM indicates that there is a positive relationship between them in Nigeria and the coefficient was positive showing that effective management ofpower sector will contribute to the economic growth. Finally, that there is a significant impact between power generations on economy ofNigeria. This findings was made sequel to the result which revealed that the p-value 0.0331 is> 0.05. Sequel to the findings and conclusion, the research made the following recommendations that the consumption rate ofpower such as coil consumption, gas consumption, power consumption and energy consumption should be efficiently managed heir utilization so as to be able to regulate its inflow and outflow in Nigeria economy and that government should be able to manage the power sector efficiently in order to ensure steady economic growth in Nigeria.