The Federal Government and the National Assembly have reaffirmed their commitment to supporting the complementary roles of federal and state electricity regulators as Nigeria transitions to a multi-tier electricity market.
The commitment was made at a workshop in Abuja on Legal, Policy and Regulatory Harmonisation between Federal and State Institutions on the Decentralisation of the Nigerian Electricity Supply Industry (NESI).
Speaking at the event, the Special Adviser to the President on Power and Chairman of the Presidential Task Force on Power Sector Reset and Restoration, Mr. Rilwan Lanre Babalola, described electricity as the bedrock of industrialisation, economic competitiveness, job creation and national prosperity.
He urged stakeholders to embrace the ongoing reforms as partners working towards a unified Nigerian electricity market rather than institutions defending separate jurisdictions.
According to him, while the Electricity Act decentralises aspects of governance, it does not alter the interconnected nature of the country’s power network.
“Every major reform creates new opportunities. It also creates new interfaces. As Federal and State institutions assume their respective responsibilities, questions will naturally arise regarding regulatory boundaries, market oversight, technical standards and commercial arrangements,” Babalola said.
He stressed that such issues should be resolved through dialogue, cooperation and mutual respect, noting that harmonisation remains essential to preserving an efficient and integrated electricity market.
“The Electricity Act decentralises aspects of governance. It does not decentralise the physics of electricity. Our networks remain interconnected. Our markets remain interdependent. Our prosperity remains shared. That is why harmonisation is not optional. It is fundamental to preserving one efficient Nigerian electricity market,” he added.
Also speaking, Chairman of the Senate Committee on Power, Senator Enyinnaya Abaribe, reaffirmed the National Assembly’s commitment to enacting laws that enable federal and state electricity regulators to perform complementary functions.
He said the success of decentralisation should not be judged by the number of states establishing electricity markets or obtaining transfer orders, but by the emergence of a coherent, efficient, bankable and integrated electricity market.
“We therefore require harmonised rules governing the relationship between NERC and State Electricity Regulatory Commissions,” Abaribe said.
The workshop also featured contributions from the Minister of Power, Chief Joseph Tegbe, and the Chairman of the Nigerian Electricity Regulatory Commission (NERC), Dr. Musiliu Oseni, both of whom underscored the importance of harmonising regulatory and operational activities to ensure a seamless transition to a decentralised yet integrated Nigerian Electricity Market.
