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END OVERLAP IN THE STATE’S ELECTRICITY INDUSTRY — ALABI CHARGES NERC
As part of ongoing efforts to accelerate infrastructure development, improve electricity access and management, and address emerging challenges in the power sector, a high-level stakeholders’ meeting has been held with policymakers, industry leaders, regulators, and operators in Lagos.
The Honourable Commissioner for Energy and Mineral Resources, Engr. (Dr.) Johnson Alabi, spoke as a panelist at the event themed “Effective Collaboration between States, Regulatory Bodies and Distribution Companies for Sustainable Electricity Supply.”
He charged Electricity Distribution Companies (DisCos) and NERC to respect the autonomy granted to states under the Electricity Act, stressing that decentralization must be allowed to function effectively.
Engr. Alabi maintained that there are overlaps in some of the functions of the Nigerian Electricity Regulatory Commission (NERC) which continue to create operational challenges and impede efficient management of state electricity markets. He, however, clarified that such overlaps are transitional rather than structural.
According to him, the overlaps largely concern asset delineation and customer dependence on the national grid. He therefore urged NERC to critically review the provisions of the new Electricity Act, noting that definitions of the national grid embedded in the Electricity Act are well spelt out and require adherence to strengthen collaboration.
“We cannot continue to do things the same old way and expect new results. States now have full autonomy to operate their electricity markets, which implies that states are no longer under NERC. The Ondo State Electricity Regulatory Bureau is not in any way inferior to NERC; it is a matter of concurrence. We make bold to say that Ondo State has a highly functional regulatory body,” Engr. Alabi stated.
The Commissioner further disclosed that upon assumption of office, the Governor of Ondo State, His Excellency Dr. Lucky Orimisan Aiyedatiwa, approved the provision of subsidized electricity meters.
He revealed that about 20,000 meters have been sold to residents within one year, positioning Ondo State among leading states in metering initiatives.
He added that the Federal Government’s metering programme under DISREP should be implemented through state structures to ensure efficiency, accountability, and improved service delivery.
Engr. Alabi expressed optimism that the meeting would serve as an eye-opener for policymakers, regulators, investors, and operators to explore stronger partnerships capable of transforming the electricity sector.
Earlier in his remarks, the Minister of Finance and Coordinating Minister of the Economy, Mr. Wale Edun, represented by the Special Adviser on Climate Finance, Mr. Temitope Akinyemi, said Nigeria’s aspiration to grow into a one-trillion-naira economy is dependent on stable and reliable electricity supply.
He highlighted ongoing reforms in the power sector, noting that 16 states have already commenced the development of their electricity markets, while others are assuming regulatory responsibilities under NERC’s guidance.
He described decentralization as a positive step that must be carefully managed through regulatory alignment and collaboration.
“Collaboration is the real reform. DisCos must become stronger, more transparent, and more investable. When roles align, electricity stops being a frustration and becomes a foundation for growth, dignity, and opportunity,” he said.
The Convener of the forum, Barr. Seyi Akinwunmi, explained that the meeting was designed to go beyond discussions on power supply by providing clarity on electricity delivery.
“The power sector is built around complexities and frustrations. This leadership series is a flagship initiative to bridge the gap between policy intent and operational reality,” he said, adding that the forum also enables legal practitioners to translate legislative reforms into practical benefits for citizens.
Dignitaries at the event included the Minister of Power, Chief Adebayo Adelabu, OFR, represented by Engr. Effiong Ekanem; Lagos State Commissioner for Energy and Mineral Resources, Hon. Biodun Ogunleye; NOJA CEO, Mr. Neil O’Sullivan; Director-General of NERC, Engr. Abdullahi Garba, represented by Mrs. Ibrahim Umar; Managing Director, NISO, Engr. Abdu Mohammed Bello; Chairman, NISO, Dr. Adesegun Akin-Olugbade; Managing Director, Kaduna Electricity Distribution Company, Dr. Umar Hashidu, and other key stakeholders.
Debbie Funmilayo
Media Officer
Ministry of Energy and Mineral Resources
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