Independence: NERC pledges stronger regulation to drive Nigeria’s power sector

By Onu Okorie

Nigerian Electricity Regulatory Commission (NERC) has used Nigeria’s 66th Independence Anniversary to reaffirm its commitment to strengthening regulation and promoting a more reliable and sustainable electricity market.
In a goodwill message to Nigerians, the Commission said its regulatory mandate remained central to building an electricity sector capable of supporting economic activity, businesses and national development.
“Together, let’s power the Nigeria we are building,” NERC said in the message posted on its X handle to commemorate the anniversary.
The Commission’s message comes against the backdrop of ongoing reforms in the electricity sector, with the Electricity Act 2023 redefining the regulatory landscape and giving states a greater role in managing electricity markets within their territories.
Under the Act, NERC remains responsible for federal electricity regulation, including interstate and international electricity activities, national-grid-related operations and electricity activities in states that have not established their own regulators. States that establish electricity regulatory authorities can assume oversight of intrastate electricity activities.
NERC’s responsibilities also extend beyond licensing electricity operators. The Commission regulates activities covering generation, transmission, system operation, distribution, supply and trading within its jurisdiction, while setting and enforcing technical, operational and service-quality standards.
The regulator is also mandated to protect electricity consumers and promote fair competition in the market. Its economic regulation functions include tariff regulation, monitoring market behaviour and addressing practices that could undermine competition.
The changing regulatory structure is already becoming evident. NERC said in May 2026 that regulatory oversight for intrastate electricity operations had been transferred to 15 states, while a July update stated that 16 states had fully transitioned to state electricity regulation.
For consumers, the reforms mean that responsibility for electricity complaints and service oversight can increasingly depend on whether their state has assumed regulatory control. In states that have completed the transition, NERC says consumers should engage their state regulator on matters within the state regulator’s jurisdiction.
NERC, established in 2005 and now operating under the Electricity Act 2023, describes its broader mission as promoting an investor-friendly electricity industry and an efficient market structure capable of delivering safe, adequate, reliable and affordable electricity.
The Commission’s Independence Day message therefore places the anniversary celebration within the broader challenge of using effective regulation to support Nigeria’s development.
Reliable electricity, NERC noted, remains important to economic growth, business activity and the welfare of citizens, making cooperation among government institutions, operators, investors and consumers essential to the sector’s progress.
As Nigeria marks another year of independence, the Commission said it would continue to play its regulatory role in supporting the development of the electricity industry and the country at large.