The Nigerian Electricity Regulatory Commission (NERC) has issued an order to transfer regulatory oversight of the electricity market in Edo State from the Commission to the Edo State Electricity Regulatory Commission (ESERC).
NERC announced this via a statement on Wednesday, saying it is in compliance with the amended Constitution of the Federal Republic of Nigeria (CFRN) and the Electricity Act 2023 (Amended).
“Recall 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,” NERC stated.
“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 Edo 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 Edo State.”
According to the statement, the transfer Order by NERC has the following provisions: Direct Benin Electricity Distribution Company (BEDC) to incorporate a subsidiary (BEDC SubCo) to assume responsibilities for intrastate supply and distribution of electricity in Edo State from BEDC.
It said BEDC shall complete the incorporation of BEDC SubCo within 60 days from 21st August 2024.
The subcompany shall apply for and obtain licence for the intrastate supply and distribution of electricity from ESERC, among other directives.
“All transfers envisaged by this order shall be completed by 20th February 2025,” the commission added.
“Kindly access the details in the Order on the NERC website via this link: nerc.gov.ng/media/order-on…”
