The strategy of management of the existing capacity by proper illumination design and the use of energy saving devices in the residential sector is reported. Improper installation design and the use of all sorts of devices at homes has led to a lot of electrical energy wastages resulting in the need to increase the generation capacity. The study revealed that annual energy of 551.88kWh could be saved for a three – bedroom flat when energy saving fluorescent lamps were used. The corresponding naira savings was 2,207.52 per annum. In addition, the sizes of cable, fuses/circuit breakers required are reduced and hence reduction in the cost of installation. The paper advocates the need for proper design and installation of energy saving devices in homes. The paper will be of relevance to lighting installation designers, power systems engineers, power utility managers, and the general public.