NERC Hands Over Akwa Ibom Electricity Market Regulation to AKSERC

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),

The commission said on Wednesday, this is in compliance with the amended Constitution of the Federal Republic of Nigeria and the Electricity Act 2023.

Under the Electricity Act, NERC is retaining its role as the central regulator, overseeing inter-state and international electricity generation, transmission, supply, trading and system operations.

According to the EA 2023, states seeking to establish and regulate their own intrastate electricity markets are required to 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 incorporation of the subsidiary within 60 days of 18 August 2026.

PHEDC SubCo will then be required to apply for and obtain a licence for intrastate electricity supply and distribution from AKSERC, among other directives contained in the order.

NERC said all transfers envisaged under the order are to be completed by 17 February 2027.

Akwa Ibom joins a growing list of states that have taken over regulation of their electricity markets since the Electricity Act 2023 removed electricity from the exclusive federal legislative list.

NERC began the handover process with Enugu and Ekiti on 22 October 2024, followed by Ondo the next day, then Imo, Oyo, Edo, Kogi, Lagos, Ogun, Niger, Plateau, Abia, Nasarawa and Bayelsa, with Anambra also completing its transition.

By July 2026, NERC chairman Musiliu Oseni confirmed the commission had transferred electricity market regulation to 16 states.