By Sunday Etuka, Abuja
The Nigerian Electricity Regulatory Commission (NERC) has issued an order to transfer regulatory oversight of the electricity market in Ekiti State from the Commission to the Ekiti State Electricity Regulatory Bureau (EERB).
This was in compliance with the amended Constitution of the Federal Republic of Nigeria (CFRN) and the Electricity Act 2023 (Amended).
NERC in a statement on Tuesday said, with the Electricity Act 2023, it retains the role as central regulator with regulatory oversight on the inter-state/international generation, transmission, supply, trading and system operations.
The Commission noted that the Electricity Act also mandated 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.
Based on this, it said, the Government of Ekiti State complied with the conditions precedent in the laws, duly notified NERC and requested for the transfer of regulatory oversight of the intrastate electricity market in Ekiti State.
In line with the transfer Order, NERC, directed the Benin Electricity Distribution Company (BEDC) and Ibadan Electricity Distribution Company PLC (IBEDC) to incorporate a subsidiary (BEDC SubCo and IBEDC SubCo) to assume responsibilities for intrastate supply and distribution of electricity in Ekiti State from BEDC and IBEDC.
It also directed that BEDC and IBEDC complete the incorporation of BEDC SubCo and IBEDC SubCo within 60 days from 22 April 2024 and the subcompanies apply for and obtain licences for the intrastate supply and distribution of electricity from EERB, among other directives.
The Commission, however, stated that all transfers envisaged by the order shall be completed by 22 October 2024.
Recall that NERC yesterday also issued an order to transfer regulatory oversight of the electricity market in Enugu State to Enugu Electricity Regulatory Commission (EERC) in line with the provisions of Electricity Act 2023, as Amended.
