The Nigerian Electricity Regulatory Commission (NERC) has officially transferred regulatory oversight of Kogi State’s electricity market to the Kogi State Electricity Regulatory Commission (KSERC).
This move follows the amended Constitution of the Federal Republic of Nigeria (CFRN) and the newly revised Electricity Act (EA) 2023.
NERC will continue its role as a central regulator for interstate and international electricity activities, including generation, transmission, supply, and trading.
However, the EA 2023 allows states to regulate their intrastate electricity markets, provided they notify NERC and request the transfer of authority.
Kogi State met these legal requirements and submitted a formal request, leading to the transfer of regulatory authority from NERC to KSERC.
As part of this process, NERC has directed the Abuja Electricity Distribution Company (AEDC) to create a subsidiary, AEDC SubCo, responsible for intrastate electricity distribution within Kogi State.
AEDC has 60 days, starting from September 13, 2024, to complete the incorporation of this subsidiary.
The newly formed AEDC SubCo must apply for and secure the appropriate license from KSERC. NERC has set a deadline of March 12, 2025, to finalize all aspects of this transfer.
