By Faridat Salifu
The Nigerian Electricity Regulatory Commission (NERC) has transferred regulatory oversight of Abia State’s electricity market to the Abia State Electricity Regulatory Authority (ASERA), making Abia the eighth state to assume control of its intrastate power sector under the Electricity Act 2023.
The announcement was made via NERC’s official X account on Wednesday, confirming that the Abia State Government had met all legal and procedural requirements to assume regulatory authority over electricity operations within its territory.
“In compliance with the amended Constitution of the Federal Republic of Nigeria (CFRN) and the Electricity Act 2023 (Amended), NERC has issued an order to transfer regulatory oversight of the electricity market in Abia State from the Commission to ASERA,” the statement said.
As part of the transition, NERC directed the Enugu Electricity Distribution Company (EEDC) to incorporate a subsidiary company—EEDC SubCo—within 60 days from June 25, 2025, to manage the intrastate distribution and supply of electricity in Abia State.
The newly formed entity must obtain a distribution licence from ASERA and complete all transfers related to the handover by December 24, 2025, according to the order.
This move follows similar regulatory handovers to state electricity commissions in Lagos, Ogun, Ekiti, Ondo, Plateau, Niger, and Kogi states since 2024, following the decentralisation provisions of the Electricity Act.
Until recently, electricity regulation in Nigeria was centrally administered by NERC.
However, the 2023 amendments to the Constitution and the Electricity Act now empower states to create independent electricity markets and regulatory commissions within their jurisdictions.
The decentralisation effort is expected to improve responsiveness to local electricity supply challenges and foster competition, innovation, and investment in state-managed power systems.