NERC backs Power Minister’s call for harmony in multi-tier electricity market

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NERC Chairman, Musiliu Oseni

NERC Chairman, Musiliu Oseni


 

The Nigerian Electricity Regulatory Commission (NERC) has backed the Minister of Power, Joseph Tegbe’s call for harmonisation of regulatory and operational activities in the Nigerian Electricity Market (NEM).

Speaking on Tuesday at a high-level workshop in Abuja, themed: ‘Legal, Policy and Regulatory Harmonisation between Federal and State Institutions on the Decentralisation of the Nigerian Electricity Supply Industry (NESI)’ Mr Tegbe called for stronger collaboration among stakeholders to ensure the success of the country’s ongoing electricity sector reforms.

The minister said harmonisation would ensure that power sector players work towards the onerous goal of increasing access to electricity for Nigerians, as electricity remains the bedrock of any nation’s development.

Mr Tegbe also inaugurated a 9-member inter-agency committee at the workshop to address issues around decentralisation of the electricity market.

The committee was given four weeks to review issues raised, work with other stakeholders and submit resolutions within the timeframe.

Consumer groups fault exclusion from committee

However, on Saturday, two consumer advocacy groups accused Mr Tegbe of violating the Electricity Act 2023 and breaching constitutional provisions with the exclusion of consumer representatives from the newly inaugurated committee to harmonise the decentralisation of Nigeria’s electricity sector.

The Association for Public Policy Analysis (APPA) and Electricity Consumers Protection Advocacy Centre (ECPAC) said the composition of the committee was designed to “perpetuate continuous distribution companies (DisCos) electricity crimes and foist anti-consumer electricity policies” on state-based  electricity consumers.

Nigerians care more about power than who regulates

On Sunday, the Nigerian Electricity Regulatory Commission (NERC) backed the minister call for harmony in the multi-tier electricity market.

NERC Chairman, Musiliu Oseni, in a statement by the commission, said Nigerians are less concerned about which institution regulates the sector or formulates policy and are more interested in having a reliable and uninterrupted electricity supply.

He urged all actors within the emerging multi-tier electricity market to sustain dialogue, strengthen cooperation and remain focused on delivering improved outcomes for electricity consumers.

“Nigerians do not really care about who regulates what or who is responsible for policymaking, but they strongly care about the availability and reliability of supply. It does not matter to them who drives the sector, be it state or federal, but who actually meets their supply needs.

“It is on this basis I wish to urge all actors in the room to reflect, drop our ego and personal interests, embrace dialogue and let us all work together to meet the yearnings of Nigerians. We must create a strategic platform where regulatory and policy dialogues on the issues relating to the power sector take place. The honourable minister may wish to institute periodic policy meetings with policy commissioners from the states,” Mr Oseni said.

He said the platform through which this could take place already exists – i.e., the National Council on Power (NACOP), noting that there is a need to reform the structure of engagements.

Relatively, he said more frequent and more focused policy meetings with state commissioners may be adopted, as against the annual and somewhat large gathering adopted in the past.

“These will ensure frequent touchpoints between the federal and the state governments on policy implementation and coordination, especially during this transition phase,” he said.

The Electricity Act 2023 decentralised the power sector, granting states the authority to regulate electricity markets within their jurisdictions. Several states have since enacted their own electricity laws and established state regulators.

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