NERC issues July 2025 ultimatum to states to assume full oversight of electricity market

…as Kogi govt takes over oversight of state’s electricity market

The Nigerian Electricity Regulatory Commission (NERC) has announced that electricity regulatory commissions in states have till July 2025 to fully take over the oversight function of their electricity markets.

The commission stated this in a public notice of transfer of regulatory oversight to kogi state government, sighted by BusinessDay.

So far, NERC has issued orders of transfer of oversight of the electricity market to 10 states, including Lagos, Enugu, Ondo, Ekiti, Kogi, Oyo, Imo, Edo, Niger and Ogun State, noting that “while some have fully taken charge, the others have up till July 2025 to fully take over the oversight in their respective states.”

The Commission in a recent announcement confirmed the readiness of four states, including Enugu, Ekiti, Ondo and Imo to take over the generation, transmission and distribution of electricity in the state, as it conclude the transfer of regulatory oversight to the states.

As provided in the Electricity Act 2023, which was signed by President Bola Ahmed Tinubu in February 2024, state governments and individuals have been empowered to participate in electricity generation, transmission, and distribution.

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

The Commission announced that Kogi State Electricity Regulatory Commission (KSERC) has formally taken over oversight of the electricity market in the state in line with the provisions of the Electricity Act 2023, which empowers NERC to transfer oversight of the electricity market to states that apply for such and duly meet the requirements.

Speaking during a meeting in Abuja on Wednesday, Sanusi Garba, NERC Chairman assured that NERC will keep an open door to assist KSERC in their information need to support their seamless operation.