Electric Power Sector Reform Act (Amendment) Bill

Electric Power Sector Reform Act (Amendment) Bill Policy Overview

What Is This Policy?

An amendment to update and strengthen the legal framework governing Nigeria's electricity sector, addressing gaps exposed since the 2005 privatisation, improving regulation, and aligning with the Electricity Act 2023's devolution of power to states.

• The Electric Power Sector Reform Act, as this bill proposes amendments to it. - The Electricity Act 2023, which it aligns with for devolution of power to states.

Distribution Companies (DisCos) and Generation Companies (GenCos) Nigerian Electricity Regulatory Commission (NERC) State governments and state electricity regulators Electricity consumers — residential, commercial, and industrial

Who Does It Target?

Electricity generation, transmission, and distribution companies licensed by NERC. The Nigerian Electricity Regulatory Commission (NERC). State governments and private investors in the power sector. Electricity consumers including households, industries, and commercial users.

What Does It Aim to Achieve?

Strengthen NERC's enforcement powers over DisCos and GenCos Accelerate the transition to cost-reflective tariffs with strong consumer protections Clarify the relationship between federal and state electricity regulation following the 2023 Act Improve access to electricity for underserved communities through enhanced rural electrification mandates

Key Features

Current Status

Funding: NERC self-funding through regulatory levies; capital investments from licenced operators

How to Access

Consumers engage through their DisCo for service issues; regulatory complaints filed with NERC. Requirements: Any electricity consumer may file a regulatory complaint with NERC Formal complaint requires account details and documentation of grievance Businesses may engage NERC for licensing queries Application method: NERC consumer portal: www.nerc.gov.ng | Consumer Complaints Unit: 0800-NERC-NG

Important Terms

DisCos required to maintain minimum service hours or compensate affected customers MYTO (Multi-Year Tariff Order) process to be strengthened for transparent tariff reviews Cross-subsidy provisions retained to protect low-income consumers from cost-reflective tariff impact

Impact & Metrics

Nigeria's electricity access rate stands at 57%; average supply hours per day are fewer than 12 in most cities. The amendment targets 20+ hours average supply and 70% access by 2030.

Official Resources

Website: www.nerc.gov.ng | www.fmpower.gov.ng Contact: NERC — [email protected] | Ministry of Power — [email protected] Federal Republic of Nigeria — Policy Summary Document | March 2026

Legal Framework

• The Electric Power Sector Reform Act, as this bill proposes amendments to it. - The Electricity Act 2023, which it aligns with for devolution of power to states.