WATCH THE VIDEO HERE THE Nigerian Electricity Regulatory Commission (NERC) has issued an order to transition the regulatory oversight of the electricity market in Kogi State from NERC to the Kogi State Electricity Regulatory Commission (KSERC). In a statement released today, the regulator noted that this decision aligns with the amended Constitution of the Federal Republic of Nigeria (CFRN) and the Electricity Act 2023 (Amended). It is important to recall that under the Electricity Act 2023, NERC retains its position as the central regulator with oversight responsibilities for inter-state and international generation, transmission, supply, trading, and system operations. Furthermore, the Act requires any state aiming to create and manage its intrastate electricity markets to formally notify NERC and request the transfer of regulatory authority over electricity operations in that state to its state regulator. In this context, NERC confirmed that the Government of Kogi State has fulfilled the legal prerequisites, properly notified NERC, and requested the transfer of regulatory authority for the intrastate electricity market in Kogi State. As part of this transfer, NERC has instructed the Abuja Electricity Distribution Company (AEDC) to establish a subsidiary (AEDC SubCo) that will take over responsibilities for the intrastate supply and distribution of electricity in Kogi State from AEDC. NERC indicated that AEDC must complete the incorporation of AEDC SubCo within 60 days from September 13, 2024. “The subsidiary must apply for and obtain a license for the intrastate supply and distribution of electricity from KSERC, among other directives. “All transfers outlined in this order are to be completed by March 12, 2025,” NERC added.
KOGI: NERC approves transfer of electricity regulation
