…Urges States to End Dependence on FG for Electricity

Vice-President Kashim Shettima has urged state governments to take greater responsibility for electricity generation and distribution by establishing functional regulatory institutions and developing viable electricity markets.

Shettima made the call while proposing a National Electricity Reform Peer Review and Implementation Framework to accelerate the implementation of the Electricity Act 2023.

He said the legislation provided an opportunity for states to address their peculiar electricity challenges, attract investments and expand access to reliable power.

The Vice-President identified Nigeria’s diverse energy resources as an advantage for developing state-level electricity markets, citing solar potential in Sokoto, Borno and Katsina, gas resources in Delta, Rivers and Bayelsa, and hydroelectric opportunities in Niger and Kebbi.

He urged state governments to translate these resources into investments capable of powering agriculture, manufacturing, healthcare and education.

“Legislation cannot implement itself. States yet to act must begin their legislative and institutional preparations promptly. They need to establish functional electricity regulatory bodies with technical competence and capacity,” he said.

To strengthen implementation, Shettima proposed a voluntary framework involving the Nigerian Electricity Regulatory Commission (NERC), Federal Ministry of Power, Nigeria Governors’ Forum (NGF) and state electricity regulators.

According to him, the initiative would enable states to exchange experiences, strengthen regulatory institutions and assess progress in market development, investment readiness, consumer protection and electricity access.

“No State needs to purchase with failure the knowledge another State has already acquired,” he said.

He explained that annual voluntary reviews would identify implementation challenges, facilitate technical assistance and promote practical solutions without undermining the constitutional powers of states.

The Vice-President also emphasised the need for private sector participation, noting that government funding alone could not meet the country’s electricity infrastructure requirements.

“Government cannot finance this transformation from the treasury alone; private capital must arrive with technology and expertise. Transparent licensing, predictable regulation, commercially viable markets, investment safeguards and credible dispute resolution will earn investors’ confidence,” he stated.

Shettima reaffirmed President Bola Tinubu’s commitment to expanding electricity access through policies aimed at encouraging investment, strengthening institutions and improving service delivery.

“Under His Excellency, President Bola Ahmed Tinubu, GCFR, the Federal Government will sustain policies and partnerships for accessible, reliable, efficient and progressively affordable electricity for households and businesses,” he said.

He also called for stronger consumer protection against arbitrary billing, poor service and unfair commercial practices, insisting that electricity operators must be held accountable for service quality.

“The final verdict on this law will be delivered wherever a Nigerian reaches for a switch. Entrepreneurs need dependable power, young Nigerians need employment, and investors need transparent rules under which enterprise can prosper,” he added.

Earlier, the Permanent Secretary, Federal Ministry of Power, Mahmuda Mamman, who represented the Minister of Power, said the success of the Electricity Act would depend on the capacity of states to establish credible institutions and commercially viable electricity markets.

He noted that state-level electricity planning would enable governments to respond more effectively to local demand and infrastructure requirements.

Also speaking, the Director-General of NGF, Dr Abdulateef O. T. Shittu, said the forum was working to strengthen coordination between federal and state institutions in implementing the legislation.

Shittu disclosed that efforts were underway to develop a standard tariff framework for states to protect consumers while promoting investment and commercial sustainability.

He urged stakeholders to ensure that any amendments to the existing legal framework strengthened the progress already recorded in electricity regulation.

In her remarks, the Deputy General Manager (Compliance) and Head of Compliance at NERC, Hauwa Yakubu, said the commission had issued regulatory transfers to 17 states, with Akwa Ibom being the most recent.

She said NERC had continued to support emerging state electricity regulators through peer-to-peer training and technical engagement.

According to her, the Electricity Act 2023 introduced a new era of multilevel electricity regulation, bringing regulatory responsibilities closer to consumers and enabling states to address their peculiar electricity challenges.