In adherence to the amended Constitution of the Federal Republic of Nigeria (CFRN) and the Electricity Act 2023 (Amended), the Nigerian Electricity Regulatory Commission (NERC), herein referred to as “the Commission,” has issued an official mandate transferring regulatory authority over the electricity market in Enugu State to the Enugu State Electricity Regulatory Commission (EERC).
Under the provisions of the Electricity Act, NERC maintains its pivotal role as the central regulatory authority, responsible for overseeing inter-state/international generation, transmission, supply, trading, and system operations within the electricity sector.
Furthermore, the Electricity Act mandates any state intending to establish and regulate intrastate electricity markets to formally notify NERC and request the transfer of regulatory authority over electricity operations to the respective State Regulator.
In full compliance with statutory requirements, the Government of Enugu State has duly notified NERC and formally requested the transfer of regulatory oversight concerning the intrastate electricity market in Enugu State.
In response to this request, NERC has outlined specific provisions within the Order, including:
- Directing the Enugu Electricity Distribution Company PLC (EEDC) to establish a subsidiary entity (EEDC SubCo) tasked with assuming responsibilities for intrastate supply and distribution of electricity within Enugu State, distinct from the main operations of EEDC.
- Setting a timeline of 60 days from April 22, 2024, for the incorporation of EEDC SubCo, along with a requirement for the subcompany to apply for and secure a license for intrastate supply and distribution of electricity from EERC, among other stipulated directives.
All outlined transfers mandated by this Order are expected to be completed no later than October 22, 2024.
