NERC transfers regulatory oversight of Plateau electricity market to state government

The Nigerian Electricity Regulatory Commission (NERC) has issued an order transferring regulatory oversight of the electricity market in Plateau to the state’s electricity regulatory commission (PSERC).

In a statement posted on its official X handle on Friday, NERC said the transfer is in compliance with the amended constitution of the Federal Republic of Nigeria and the Electricity Act (EA) 2023.

“Recall that with the EA 2023, the Commission retains the role as a central regulator with regulatory oversight of inter-state/ international generation, transmission, supply, trading and system operations,” NERC said.

”The EA also mandates any state that intends to establish and regulate intrastate electricity markets to deliver a formal notification of its processes and requests to NERC.

“The request is to transfer regulatory authority over electricity operations to the state regulator.

”Based on this, the government of Plateau complied with the conditions precedent in the laws, duly notified NERC and requested for the transfer of regulatory oversight of the intrastate electricity market.”

The commission directed Jos Electricity Distribution Plc (JED) to incorporate a subsidiary (JED SubCo) to assume responsibilities for intrastate supply and distribution of electricity in Plateau state from JED.

“JED shall complete the incorporation of JED SubCo within 60 days from 12th March 2025,” the order added.

NERC said the subsidiary shall apply for and obtain a licence for the intrastate supply and distribution of electricity from PSERC.

According to the order, all transfers envisaged would be completed by September 12, 2025.

In 2024, NERC began the process of granting 10 states the authority to manage their electricity markets, including the generation, transmission, and distribution of power within their boundaries.

The NERC, on January 14, said it completed the transfer of regulatory authority to Enugu, Imo, Ondo, and Ekiti states, while Oyo, Edo, Kogi, Lagos, Ogun, and Niger have started the process.