The Nigerian Electricity Regulatory Commission (NERC) has confirmed that 15 states have assumed full regulatory authority over their electricity markets under the framework of the Electricity Act 2023, marking a formal shift in Nigeria’s decentralised power sector governance.
The Commission said the development effectively changes the country’s electricity regulatory structure, with affected states now responsible for handling consumer complaints, market oversight, and distribution-related disputes within their jurisdictions, reports The Guardian.
The development means that electricity consumers in the affected states will no longer direct complaints to NERC, as regulatory oversight and dispute resolution functions have now been transferred to State Electricity Regulators (SERs).
According to NERC, electricity consumers in the affected states are expected to channel all service-related complaints directly to their respective State Electricity Regulators (SERs), which now serve as the primary regulatory interface between customers and distribution companies.
The states listed as having transitioned to full regulatory control include Enugu, Ekiti, Ondo, Imo, Oyo, Edo, Kogi, Lagos, Ogun, Niger, Plateau, Abia, Nasarawa, and Bayelsa.
With this development, regulatory oversight of electricity distribution within these states has been effectively decentralised, reducing NERC’s direct involvement in consumer-facing dispute resolution in those jurisdictions.
The Commission’s notice indicates that the transition is being implemented in line with provisions of the Electricity Act 2023, which allows subnational governments to establish and operate their own electricity markets, including regulation of generation, transmission (within the state framework), and distribution activities.
It was gathered that states not included in the list remain under the direct regulatory oversight of NERC and are yet to complete the requirements needed to establish and operationalise independent electricity regulatory frameworks.
In those states, NERC continues to handle consumer complaints, regulate electricity tariffs, and oversee the operations of distribution companies pending the establishment of state-level regulators and full migration into subnational electricity markets.
The ongoing transition reflects a phased implementation of the Electricity Act 2023, which enables willing states to develop independent electricity markets while allowing others to remain under the federal regulatory structure until they are ready to assume full control.
