The Nigerian Electricity Regulatory Commission is an independent body, established by the Electric Power Sector Reform Act of 2005 to undertake technical and economic regulation of the Nigerian Electricity Supply Industry. The Commission is to, among others license operators, determine operating codes and standards, establish customer rights and obligations and set cost reflective industry tariffs. The Commission has its head quarters in Abuja, and has currently six zonal offices in the six geopolitical zones of the country.
Since inception, NERC has recorded significant achievements including the expansion of capacity and network by the issuance of licenses for electricity generation, transmission and distribution, as well as the development of industry codes and standards, market rules and a multi-year tariff order. In addition, the Commission has issued various regulations and orders that have created an attractive and stable electricity market in Nigeria.
These achievements have been made possible by ensuring that market transactions are rule based and regulatory interventions are preceded by robust consultative and stakeholder engagement processes to ensure transparency, fairness and accountability.
These qualities of transparency, fairness and accountability are critical to NERC as an independent regulator. The EPSR Act was thorough in ensuring this independence.