NERC transfers regulatory power in Nasarawa to NASERC

In compliance with the amended Constitution of the Federal Republic of Nigeria (CFRN) and the Electricity Act 2023 (Amended), the Nigerian Electricity Regulatory Commission (NERC) has issued an order to transfer regulatory oversight of the electricity market in Nasarawa State from the Commission to the Nasarawa State Electricity Regulatory Commission (NASERC).

Recall that with the Electricity Act (EA) 2023, the Commission retains the role as a central regulator with regulatory oversight on the inter-state/international generation, transmission, supply, trading and system operations.

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 NERC to transfer regulatory authority over electricity operations in the state to the State Regulator.

The new transfer Order by NERC, however, has directed the Abuja Electricity Distribution Plc to incorporate a subsidiary (AEDC SubCo) to assume responsibilities for the intrastate supply and distribution of electricity in Nasarawa State from AEDC.

According to NERC, AEDC shall complete the incorporation of AEDC SubCo within 60 days from 4th August 2025. The subcompany shall apply for and obtain a licence for the intrastate supply and distribution of electricity from NASERC, among other directives, while adding that all transfers envisaged by the order shall be completed by 3rd February 2026.

So far, the commission has transferred regulatory oversight over intra-state electricity markets to Edo, Ekiti, Enugu, Imo, Kogi, Lagos, Niger, Ogun, Ondo and Oyo pursuant to the provisions for the orderly transfer of regulatory oversight specified in Section 230 of the Electricity Act.

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