Niger Emerges 10th State to Get Regulatory Oversight Nod from NERC 

Emmanuel Addeh in Abuja 

In compliance with the amended constitution and the Electricity Act (EA) of 2023, the Nigerian Electricity Regulatory Commission (NERC) has issued an order to transfer regulatory oversight of the electricity market in Niger state from the commission to the Niger State Electricity Regulatory Commission (NSERC).

Although with the new Act, the commission retains the role as a central regulator with regulatory oversight on the inter-state/international generation, transmission, supply, trading and system operations, states now have the power to regulate the sector within their jurisdictions.

The EA also mandates any state that intends to establish and regulate intrastate electricity markets to deliver a formal notification of its processes and request NERC to transfer regulatory authority over electricity operations in the state to the state regulator.

THISDAY learnt that with the new power handed over Niger state, it becomes Nigeria’s 10th state to join the list of sub-national governments that can now oversee the generation, distribution and supply of electricity in their areas.

Aside Niger state, others which have had their applications approved include: Enugu; Ekiti; Ondo; Imo; Oyo; Edo; Kogi; Lagos and Ogun.

“Based on this, the government of Niger state complied with the conditions precedent in the laws, duly notified NERC and requested for the transfer of regulatory oversight of the intrastate electricity market in Niger State.

“The transfer Order by NERC has the following provisions: Direct Abuja Electricity Distribution Plc (AEDC) to incorporate a subsidiary to assume responsibilities for intrastate supply and distribution of electricity in Niger state from AEDC.

“AEDC shall complete the incorporation of AEDC SubCo within 60 days from  January 10,  2024. The sub-company shall apply for and obtain licence for the intrastate supply and distribution of electricity from NSERC, among other directives,” NERC stated in a statement.

It also directed Ibadan Electricity Distribution Company Plc (IBEDC) to incorporate a subsidiary to assume responsibilities for intrastate supply and distribution of electricity in Niger state from IBEDC.