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Government and Lawmakers Back Complementary Regulation as NERC Issues New Grid Audit Rules

The federal government and the National Assembly have reaffirmed their commitment to seamless collaboration between federal and state electricity regulators as Nigeria transitions toward a decentralized power market, even as the Nigerian Electricity Regulatory Commission introduced new guidelines for periodic technical audits of the national transmission network.

The commitments came at an Abuja workshop on harmonizing regulation between federal and state institutions under the decentralized Nigerian Electricity Supply Industry. Special Adviser to the President on Power, Rilwan Lanre Babalola, described electricity as foundational to industrialization and economic growth, urging stakeholders to treat the reforms as a shared effort toward a single national market rather than a contest over jurisdiction. He said the Electricity Act decentralizes governance but not the physical interconnection of the grid, making regulatory harmonization essential.

Senate Committee on Power Chairman Enyinnaya Abaribe said success should be measured not by how many states establish their own electricity markets but by whether Nigeria achieves a coherent, integrated market in which federal and state institutions play complementary roles, calling for harmonized rules governing the relationship between the national regulator and state commissions. Minister of Power Joseph Tegbe and NERC Chairman Musiliu Oseni echoed the need for aligned regulatory and operational activity across the sector.

Separately, NERC announced new guidelines on procedures for technical audits of the transmission system and network data validation, effective July 20, 2026, establishing a standardized framework for periodic audits aimed at improving the reliability and safety of the national grid. Under the framework, the Nigerian Independent System Operator must engage qualified consultants to audit the 330kV and 132kV transmission networks at least once every five years, while transmission service providers must grant auditors full access to facilities and records, implement performance improvement plans and submit annual progress reports. The guidelines also set minimum competency requirements for auditing consultants.

Kenechukwu Okonkwo

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