Anambra moves to end monopoly, targets libralisation of power sector

The newly established Anambra State Electricity Regulatory Commission (ASERC) has begun moves, aimed at improving electricity supply and breaking the monopoly in the state’s power sector.

The Commission said that it is creating an enabling environment to attract new investors and encourage competition in electricity generation and distribution.

Speaking at a ceremony in Awka, Tuesday, Frank Okafor, Chairman of ASERC, said that the four regulatory instruments designed to reshape electricity supply in the State, include business rules, customer protection regulations, investment framework for the power sector, and utility investment guidelines aimed at strengthening infrastructure.

The signing ceremony, which was witnessed by key stakeholders in the power sector, also set out operational standards for the state-owned First Power Distribution Company and other prospective distributors.

Governor Chukwuma Soludo, had in April 2025 signed into law the Electricity Regulatory Bill passed by the State House of Assembly, giving birth to the Anambra State Electricity Regulatory Commission (ASERC).

Okafor said that the objective of the new regulatory framework was to ensure that consumers and other stakeholders clearly understand their rights and obligations within the electricity market.

He added that the signing also marked the beginning of structured collaboration between the Commission and the Ministry of Petroleum and Natural Resources.

He said, “The objective is for people to know their rights in the power sector. The business rules stipulate the guidelines which must be obeyed by stakeholders; the customer protection regulations define the rights of customers and service providers, including licensing procedures to ensure orderliness in the sector.

“The investment framework outlines the challenges prospective investors are likely to encounter and the procedures to follow, while the utility investment guidelines show the long-term benefits for investors.

“The Commission will ensure standardisation and quality in the sector, while the regulations will provide the operational framework needed to win the confidence of investors.

“The framework will also protect consumers, by ensuring they are not exploited. This is a roadmap to where the state is heading in the near future.”

Okafor explained that before preparing the draft regulations, members of the Commission visited major cities including Awka, Onitsha, Nnewi, and Ekwulobia to gather public input on the proposed reforms.

He reiterated that the new regulatory framework would eliminate monopoly in the sector, stressing that other investors are encouraged to participate and compete.

According to him, any operator expecting to enjoy monopoly in the sector “would be making a grave mistake,” adding that the goal is to provide consumers with alternatives and allow them to choose their preferred electricity providers.

Law Mefor, commissioner for Information and Value Reorientation, while reacting to the development, commended the Commission, noting that Governor Soludo has made deliberate efforts to improve energy supply in line with his administration’s legacy projects.

He said that the initiatives, include the proposed airport city project, which goes beyond building an airport to creating an integrated, power-driven economic ecosystem around it.

Mefor also listed the planned Anambra Industrial Park and Awka City Park, as projects expected to compete with global standards.

He added: “If there is to be a more meaningful life, it is about electricity. If we must transform our state into a smart city as envisioned by Governor Soludo, there must be adequate electricity supply.

“Electricity is therefore the foundation of the new Anambra being built. It is the availability of adequate electricity that will make Anambra a destination point.”

Casmir Agummadu, Commissioner for Power and Utilities, described the signing of the instruments as a major step towards achieving sustainable power supply in the state.

“We look forward to working with the Commission to ensure that we meet the aspirations of the people of Anambra and drive industrial growth,” he said.