Nigeria industrial development over the years has been bedevilled by myriads of problems top among which is the erratic nature of electricity supply in the energy or power sector. Every successive government had promised to do something drastic to stabilize the sector in other to drive growth in the industrial sector. However, more than hundred years of amalgamation of northern and southern protectorate and 54 years after the attainment of independent in Nigeria, the Nation is plagued with chronic under development in every area of lives including poor, unreliable and epileptic electricity supply. This has no doubt affected the performance of industrial sector as an engine of growth in Nigeria and as such this paper was premised on testing empirically the impact of electricity supply on industrial and economic development in Nigeria from 1972 – 2010. To achieve this, the paper employed the Granger Causality test and the ARDL bounds test approach to cointegration proposed by Pesaran et al (2001). In order to determine the time series characteristics of variables used in the regression, the paper adopted the approach of NG and Perron (2001) modified unit root test. The Granger Causality results showed that there is a feedback causal relationship between GDP per capita and electricity supply. Unidirectional relationship is seen between capital employed and GDP per capita without a feedback effect, running from capital to GDP per capita.