In line with the amended Constitution of the Federal Republic of Nigeria (CFRN) and the Electricity Act 2023 (Amended), the Nigerian Electricity Regulatory Commission (NERC) has issued an order transferring regulatory oversight of the electricity market in Plateau State to the newly established Plateau State Electricity Regulatory Commission (PSERC).
Under the Electricity Act 2023, NERC retains authority over inter-state and international electricity generation, transmission, supply, trading, and system operations. However, states intending to regulate their intrastate electricity markets must formally notify NERC and request the transfer of regulatory powers to their respective state regulators.
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Following due process, the Plateau State Government complied with these requirements, prompting NERC to issue the transfer order with key directives, including:
Incorporation of JED SubCo: Jos Electricity Distribution Plc (JED) is mandated to incorporate a subsidiary, JED SubCo, to handle intrastate electricity supply and distribution within Plateau State.
Licensing Requirements: JED SubCo must apply for and obtain the necessary licenses from PSERC to operate as an intrastate electricity supplier.
Timelines: JED has 60 days from March 12, 2025, to complete the incorporation of JED SubCo. Additionally, all transfers outlined in the order must be finalized by September 12, 2025.
This development marks a significant step towards the decentralization of Nigeria’s electricity sector, empowering states to manage their internal electricity markets and enhancing efficiency in service delivery.