Electricity autonomy row: Ondo Govt tackles NERC By Lai Gidado 

Electricity autonomy row: Ondo Govt tackles NERC

By Lai Gidado 

 

The Ondo State Government has accused the Nigerian Electricity Regulatory Commission (NERC) of continued interference in the affairs of states that have attained electricity regulatory autonomy, warning that such actions threaten the future of sub-national power sector reforms in Nigeria.

Abeni Aso-Oke

The Ondo State Commissioner for Energy and Mineral Resources, Engr. Johnson Alabi, made the allegation while reacting to recent developments in the electricity regulatory space following the implementation of the Electricity Act 2023.

Alabi described what he termed “continued meddling” by the federal regulator as an aberration and an abuse of power, insisting that it undermines the spirit and intent of the new electricity law signed by President Bola Tinubu.

According to him, states that have completed the legal process to regulate their electricity markets should be allowed to operate without interference.

Abeni Aso-Oke

“This is unacceptable. It is an abuse of power and a clear attempt to amend the Constitution through the backdoor,” he said, adding that the alleged actions contradict the Electricity Act 2023 and the constitutional amendment that decentralised electricity regulation.

It would be recalled, that Nigeria’s electricity sector entered a new phase in 2023 after the Constitution was amended and the Electricity Act signed into law, allowing states to generate, transmit and distribute electricity within their jurisdictions.

The reform effectively decentralised a sector previously controlled largely at the federal level.

Under the new framework, states can establish their own electricity regulatory agencies and request the transfer of oversight for intrastate electricity markets from NERC once they meet statutory conditions.

Since the law took effect, several states have obtained regulatory autonomy.

NERC has transferred oversight of electricity markets to states including Plateau, Nasarawa, Abia, Kogi, Ondo, Oyo, Edo, Ekiti and Enugu, among others.

While NERC retains responsibility for interstate and international electricity operations, transmission and system coordination, states now have the power to regulate electricity generation, distribution and supply within their borders.

Alabi argued that any attempt by the federal regulator to continue exercising authority over states that have fully transitioned to sub-national regulation contradicts both the Constitution and the Electricity Act.

He warned that such moves could frustrate ongoing efforts by state governments to attract private investment and improve power supply.

The commissioner further alleged that the development could sabotage the Federal Government’s broader electricity reform agenda aimed at improving access to power for Nigerians.

“The actions and inactions we are witnessing are clear violations of the law and an attempt to sabotage the President’s efforts to provide electricity for Nigerians,” he said.

He urged that the commission be cautioned against actions capable of undermining the gains of the sector’s decentralization.

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