Akwa Ibom Set To Take Over Electricity Market Regulation From NERC

The Nigerian Electricity Regulatory Commission (NERC) has issued an order transferring regulatory oversight of the electricity market in Akwa Ibom State to the Akwa Ibom State Electricity Regulatory Commission (AKSERC), setting the state on course to become the 17th to assume control of its electricity market since the process began in 2024.

The order, issued in compliance with the amended Constitution of the Federal Republic of Nigeria and the Electricity Act 2023 (as amended), was published on NERC’s website on 19 August 2026, a day after it took effect. Full completion of the transfer is not immediate — NERC has set a deadline of 17 February 2027 for the process to conclude.

Under the Electricity Act, NERC is retaining its role as the central regulator, overseeing interstate and international electricity generation, transmission, supply, trading and system operations. States seeking to establish and regulate their own intrastate electricity markets must formally notify NERC of their processes and request the transfer of regulatory authority to their state regulator.

As part of the transfer order, NERC has directed Port Harcourt Electricity Distribution Plc (PHEDC) to incorporate a subsidiary, PHEDC SubCo, which will take over responsibility for intrastate electricity supply and distribution in Akwa Ibom State from PHEDC. The order requires PHEDC to complete the subsidiary’s incorporation within 60 days of 18 August 2026. PHEDC SubCo will then be required to apply for and obtain a licence from AKSERC for intrastate electricity supply and distribution, among other directives contained in the order, before the transfer is considered complete.

Akwa Ibom’s push for its own electricity regulator dates back to a two-day electricity summit in Ikot Ekpene in September 2025, where Governor Umo Eno announced that AKSERC would provide fair tariffs, transparent licensing, and independent oversight, while a companion agency, the Akwa Ibom State Electrification Agency (AISEA), would extend electricity access to towns, villages, and underserved communities.

(Businessday NG) The state government subsequently enacted the Akwa Ibom State Electricity Law and moved to accelerate its transition to autonomous regulation of its electricity market.

That process advanced on 4 June 2026, when Governor Eno inaugurated a five-member board for AKSERC, mandating it to overhaul the state’s power sector within 18 months to meet public demand and drive economic growth through reliable electricity supply.

If completed as scheduled, Akwa Ibom would join a growing list of states that have taken over regulation of their electricity markets, following the Electricity Act 2023’s removal of electricity from the exclusive federal legislative list.

LEADERSHIP checks indicate that NERC began the handover process with Enugu and Ekiti on 22 October 2024, followed by Ondo, Imo, Oyo, Edo, Kogi, Lagos, Ogun, Niger, Plateau, Abia, Nasarawa, Anambra, Bayelsa and Gombe.

By July 2026, NERC chairman Musiliu Oseni confirmed the commission had transferred electricity market regulation to 16 states, a tally that Akwa Ibom’s order now positions the state to extend to 17.

Several other states remain in earlier stages of the process. Rivers, Delta and Osun have all taken preliminary steps — including passing state electricity laws and setting up planning structures — but none has yet received a transfer order from NERC.

Delta State, for instance, announced plans at its 2026 Economic and Investment Summit to establish its own electricity regulatory commission and rural electrification agency, with officials targeting operational status before the end of the year.