FG reverses halt on transfer of electricity oversight to states

The federal government has reversed its decision to halt the transfer of electricity regulatory oversight to state governments.

On Monday, Adebayo Adelabu, the minister of power, addressed the two-day stakeholders’ workshop organised by the Nigerian Electricity Regulatory Commission (NERC) in Lagos.

Read also: Market not mature, says Adelabu as FG suspends transfer of electricity regulatory oversight to state

The workshop, focused on the implementation of the Electricity Act, was attended by the 36 state commissioners of energy and power.

The minister’s remarks followed an announcement made a few days earlier regarding plans to pause the transfer of regulatory autonomy to states and to conduct a test phase with select states.

This announcement had led to confusion about whether the minister had the authority to issue such a directive contrary to the Act.

However, at the workshop, Adelabu clarified that the federal government would adhere to the law.

“Granting regulatory autonomy to states is a provision of the new Act, and no individual can override the Act. It’s a legal provision that must be respected by all state officials,” he stated.

Adelabu also noted that the workshop aimed to address potential challenges during the transition.

In April, NERC had transferred oversight of the electricity market to three states: Ondo, Ekiti, and Enugu.

The Electricity Act requires NERC to transfer oversight within six months after a state complies with the legal process.