• Proposes national peer review framework to accelerate Electricity Act implementation

Deji Elumoye in Abuja

Vice President Kashim Shettima yesterday charged state governments to take full advantage of the Electricity Act 2023 by establishing functional electricity markets, attracting private investment, and ending their dependence on the federal government for solutions to local power challenges.

Shettima said Nigeria’s ambition to build a competitive industrial economy would remain constrained unless electricity reforms translated into reliable power for businesses, households, and public institutions across the country.

He made the comments while declaring open the National Stakeholders’ Workshop on the Electricity Act 2023 at the Banquet Hall of State House, Abuja.

The workshop, with the theme, “Unlocking the Opportunities of the Electricity Act 2023 for Sustainable Energy Development and Economic Growth in Nigeria,” brought together federal and state institutions, regulators, and other stakeholders to review the implementation of the legislation.

Represented by Deputy Chief of Staff to the President, Senator Ibrahim Hassan Hadejia, the vice president said the act had created an opportunity to decentralise electricity governance and enable states to develop power markets suited to their economic needs and available resources.

He said, “The act empowers states to develop and regulate intrastate electricity markets within the applicable constitutional and statutory framework. The size, diversity and endowments of this nation demand this decentralisation.

“Electricity supply must become a shared responsibility, pursued with innovation and accountability across the federation. Our States must shed the habit of waiting for Abuja to provide every answer.”

Shettima identified the country’s diverse energy resources as a major opportunity for expanding electricity access, citing solar potential in Sokoto, Borno and Katsina, gas resources in Delta, Rivers and Bayelsa, and hydroelectric opportunities in Niger and Kebbi.

He urged states to translate the advantages into investments capable of powering agriculture, manufacturing, healthcare and education.

The vice president, however, warned that legislation alone would not guarantee improved electricity supply, calling on states yet to establish their regulatory institutions to begin the process without delay.

He stated, “Legislation cannot implement itself. States yet to act must begin their legislative and institutional preparations promptly.

“They need to establish functional electricity regulatory bodies with technical competence and capacity.”

To strengthen implementation, Shettima proposed a National Electricity Reform Peer Review and Implementation Framework involving the Nigerian Electricity Regulatory Commission (NERC), Federal Ministry of Power, Nigeria Governors’ Forum (NGF), and state electricity regulators.

He explained that the proposed voluntary framework would allow states to exchange experiences, strengthen regulatory institutions, and assess progress in market development, investment readiness, consumer protection and electricity access.

“No state needs to purchase with failure the knowledge another state has already acquired,” he said.

According to him, annual voluntary reviews should identify implementation challenges, facilitate technical assistance and promote practical solutions without undermining the constitutional powers of states.

The vice president also emphasised the importance of private sector participation, stating that government funding alone cannot meet Nigeria’s electricity infrastructure requirements.

He said, “Government cannot finance this transformation from the treasury alone; private capital must arrive with technology and expertise.

“Transparent licencing, predictable regulation, commercially viable markets, investment safeguards and credible dispute resolution will earn investors’ confidence.”

Shettima reaffirmed President Bola Tinubu’s commitment to expanding electricity access through policies that encourage investment, strengthen institutions and improve service delivery.

He said, “Under President Bola Tinubu, the federal government will sustain policies and partnerships for accessible, reliable, efficient and progressively affordable electricity for households and businesses.”

The vice president also called for stronger consumer safeguards against arbitrary billing, poor service, and unfair commercial practices, insisting that electricity operators must be held accountable for service quality.

He stated, “The final verdict on this law will be delivered wherever a Nigerian reaches for a switch. Entrepreneurs need dependable power, young Nigerians need employment, and investors need transparent rules under which enterprise can prosper.”

Earlier, Permanent Secretary in the Federal Ministry of Power, Mahmuda Mamman, who represented the Minister of Power, said the success of the Electricity Act would depend on the capacity of states to establish credible institutions and commercially viable electricity markets.

Mamman said state-level electricity planning would allow governments to respond more effectively to local demand and infrastructure requirements.

Equally speaking, Director-General of Nigeria Governors’ Forum, Dr. Abdulateef Shittu, said the forum was working to strengthen coordination between federal and state institutions in implementing the legislation.

Shittu disclosed that efforts were underway to develop a standard tariff framework for states to protect consumers while promoting investment and commercial sustainability.

He urged stakeholders to ensure that any amendments to the existing legal framework strengthened progress already recorded in electricity regulation.

Earlier, in her remarks, Deputy General Manager (Compliance) and Head of Compliance at NERC, Hauwa Yakubu, disclosed that the commission had issued regulatory transfers to 17 states, with Akwa Ibom being the most recent.

Yakubu said the commission had continued to support emerging state electricity regulators through peer-to-peer training and technical engagement.

According to her, the Electricity Act 2023 introduced a new era of multilevel electricity regulation, bringing regulatory responsibilities closer to consumers and allowing states to address their peculiar electricity challenges.