In a historic move, the Enugu State Electricity Regulatory Commission (EERC) has officially taken full regulatory oversight of the Enugu State electricity market, following the conclusion of the transition period from the Nigeria Electricity Regulatory Commission (NERC). This milestone, announced on Tuesday, makes Enugu the first state in Nigeria and Africa to develop a sub-national electricity market.
The EERC has issued licenses to Mainpower Electricity Distribution Limited, a subsidiary of EEDC, to manage electricity operations in Enugu State, effective from midnight Wednesday. Additionally, the commission has granted a license for the first Independent Power Project (IPP) in the state to Fedikore Limited, which plans to construct a power plant with a capacity of 10MW.
This transition follows the enactment of the Enugu State Electricity Law, 2023, and the establishment of the EERC, which began its regulatory journey in April. The commission is now empowered to oversee all aspects of the electricity sector, including generation, transmission, distribution, and retail services, along with Mini-Grid and Off-Grid electrification solutions.
EERC Chairman Chijioke Okonkwo described the occasion as significant, emphasizing that it marks the inception of sub-national electricity markets across Nigeria and Africa. He stated, “Today completes the six months transition for the transfer of regulatory authority from NERC to the EERC… Our mission is clear: to ensure that Enugu has access to reliable, cost-effective, and sustainable electricity while promoting fairness and innovation in the sector.”
Okonkwo praised the Governor Peter Mbah administration for ensuring political independence in the commission’s operations. He noted, “We have enjoyed a tremendous level of independence from state government activities… We have been given the authority and independence to develop the regulations and policies that we have put in place.”
Kester Enwereonu, a board member of Mainpower Electricity Distribution Ltd, assured residents of an improved electricity experience. He expressed confidence in the newly established regulatory structure tailored to the needs of the state.
Dr. Chukwueloka Umeh, Founder and MD/CEO of Fedikore Ltd, highlighted the revolutionary nature of this development, pledging commitment to work with EERC and the state government to foster an industrial revolution in Enugu.
This transition represents a crucial step in enhancing electricity access and service delivery for the people of Enugu State.