The Nigerian Electricity Regulatory Commission, NERC has transferred regulatory oversight of the electricity market in Kogi State from the Commission to the Kogi State Electricity Regulatory Commission (KSERC).
The commission said the transfer complies with the amended Constitution of the Federal Republic of Nigeria (CFRN) and the Electricity Act EA 2023 (Amended).
This was contained in a statement issued by the commission on Wednesday morning.
According to the statement, it can be recalled that with the EA 2023, the commission retains the role as a central regulator with regulatory oversight on the inter-state/international generation, transmission, supply, trading, and system operations.
It noted that the EA also mandates 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, the Government of Kogi 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 Kogi State,” the statement reads.
“The transfer Order by NERC has the following provisions:
“Direct Abuja Electricity Distribution Company (AEDC) to incorporate a subsidiary (AEDC SubCo) to assume responsibilities for intrastate supply and distribution of electricity in Kogi State from AEDC.
“AEDC shall complete the incorporation of AEDC SubCo within 60 days from 13th September 2024. The subcompany shall apply for and obtain licence for the intrastate supply and distribution of electricity from KSERC, among other directives.
“All transfers envisaged by this order shall be completed by 12th March 2025.”
