The Federal Government has cautioned electricity distribution companies (Discos) to respect state electricity regulators amid ongoing disputes over tariff setting.
At the Nigerian Electricity Regulatory Commission’s (NERC) quarterly stakeholders’ meeting in Lagos, Vice Chairman Musiliu Oseni urged Discos to strengthen ties with state regulators through openness, accountability, and collaboration.
“Discos must do better with state regulators. Be open about your challenges so they can work with you. Above all, treat them with respect,” Oseni said.
The rift between both sides stems from the amended Electricity Act 2023, which state regulators say empowers them to oversee local markets. However, Discos argue that states cannot fix tariffs for cross-border electricity.
To ease tensions, NERC brought stakeholders together to discuss transition challenges, including the integration of generation plants into the SCADA system and preparations for synchronisation with the West African Power Pool by June 2026.
Meanwhile, Chairman of the Presidential Committee on Fiscal Policy and Tax Reforms, Taiwo Oyedele, briefed the industry on new tax reforms, noting they would introduce compliance rules, tax breaks, and better revenue management.
NERC reaffirmed its commitment to collaboration and a sustainable electricity market.
