AVAILABILITY OF POWER SUPPLY AND ENTREPRENEURSHIP SKILLS AS PREDICTORS OF ECONOMIC STABILITY IN LAGOS STATE, NIGERIA

Abstract

The study underscores the critical roles of power supply and entrepreneurship skills in predicting economic stability 
in Lagos State. While power supply provides the necessary infrastructure for business operations, entrepreneurship 
skills ensure efficient utilization of resources and innovation. It adopts a correlational survey design involving small 
and medium enterprises (SMEs) operators, and business owners across purposively selected local government areas. 
A 22-item structured questionnaire was used to collect data from 141 respondents on power supply reliability, 
entrepreneurship skill levels, and indicators of economic stability. The instrument recorded a Cronbach’ Alpha 
reliability value of 0.81. The descriptive analysis was done using mean, percentage, and bar-chart, while multiple 
regression analysis was conducted to determine the predictive effect of the independent variables. Findings reveal 
that availability of power supply is a significant predictor of economic stability through stable supply and low rate of 
outage, while factors such as celebrating a month of uninterrupted power supply and amount spent on alternative 
sources are not significant. It further shows finds that entrepreneurship skills are a significant predictor of economic 
stability through the ability to recognize business opportunities, while factors such as start-up, digital tools, financial 
literacy networking skills, and innovative skills are not significant.  The study concludes that reliable energy 
infrastructure and enhanced entrepreneurship capacity are critical to fostering sustainable economic growth and 
resilience in Lagos State. It recommends increased investment in power infrastructure and entrepreneurship 
development programs to strengthen the state’s economic stability.