By Charles Chijioke
The Federal Government has cautioned operators in the Nigerian Electricity Supply Industry (NESI) against taking actions capable of undermining the country’s evolving decentralised electricity market, stressing that cooperation among stakeholders is critical to the success of ongoing power sector reforms.
The Minister of Power, Chief Joseph Tegbe, issued the warning on Friday in Abuja during a workshop on Legal, Policy and Regulatory Harmonisation between federal and state institutions on the decentralisation of the Nigerian Electricity Supply Industry.
Afrilensnews reports that Tegbe said the decentralisation of the electricity sector does not diminish the Federal Government’s leadership role but instead expands the responsibilities of state governments within a unified national electricity framework.
According to the minister, the Nigerian Electricity Regulatory Commission (NERC) will continue to regulate matters within its jurisdiction, while state electricity regulators will oversee electricity markets in their respective states.
He noted that electricity transmission remains a national asset, while generation companies will continue supplying power to the national grid, distribution companies will serve millions of consumers, private investors will provide capital, development partners will offer technical support, and consumers will remain the central focus of all decisions.
Tegbe urged all stakeholders to embrace collaboration instead of rivalry.
“Our success is interconnected. This is why collaboration must become the defining principle of our decentralised electricity market. We must ensure collaboration rather than competition between institutions. We must build alignment instead of regulatory conflict. We must practice mutual respect instead of jurisdictional rivalry,” he said.
The minister further explained that the Electricity Act was designed to establish complementary electricity markets operating under a single national framework, rather than creating parallel electricity industries.
He stressed that regulatory consistency is essential for attracting investment into the sector.
“Our objective must therefore be regulatory coherence. Investors should not encounter conflicting rules. Developers should not navigate contradictory approval processes. Consumers should not become casualties of institutional uncertainty.
Market participants should enjoy clarity, predictability and confidence wherever they choose to invest,” Tegbe added.
The Federal Government said the harmonisation of legal, policy and regulatory frameworks between federal and state institutions remains crucial to ensuring a stable, investor-friendly and efficient electricity market capable of improving power supply across Nigeria.