The Nigerian Electricity Regulatory Commission (NERC) has successfully transferred full regulatory oversight of electricity markets to four states. These states—Enugu, Ekiti, Ondo, and Imo—are now independently responsible for regulating their electricity sectors. This transfer follows the enactment of the 2023 Electricity Act, which restructured the regulatory framework for electricity markets in Nigeria.
NERC, in a post on its X handle, stated that the transfer of regulatory oversight to 10 states began on January 10, 2025. The process has been completed for four states, while six states—Oyo, Edo, Kogi, Lagos, Ogun, and Niger—are still in progress. Once completed, all 10 states will independently oversee their electricity markets, signaling a significant shift in the Nigerian Electricity Supply Industry.
The 2023 Electricity Act has redefined the operations of the 11 electricity Distribution Companies (DisCos), which previously regulated power distribution nationwide. These include Abuja DisCo, Benin DisCo, Enugu DisCo, Eko DisCo, Ibadan DisCo, Ikeja DisCo, Kaduna DisCo, Kano DisCo, Jos DisCo, Port Harcourt DisCo, and Yola DisCo, as well as Aba Power Electric. The adjustments are already impacting market structures in the areas covered by Enugu DisCo, Benin DisCo, and Ibadan DisCo.
As the remaining six states prepare for their oversight transitions in 2025, they are expected to establish sub-companies to support the evolving electricity market structure. Below is a table categorizing the states by their regulatory status:
| States with Completed Transfers | States with Ongoing Transfers | States Previously Regulated by DisCos |
| Enugu | Oyo | Abuja (Abuja DisCo) |
| Ekiti | Edo | Benin (Benin DisCo) |
| Ondo | Kogi | Enugu (Enugu DisCo) |
| Imo | Lagos | Lagos (Eko DisCo, Ikeja DisCo) |
| Ogun | Ibadan (Ibadan DisCo) | |
| Niger | Kaduna (Kaduna DisCo) | |
| Kano (Kano DisCo) | ||
| Jos (Jos DisCo) | ||
| Rivers (Port Harcourt DisCo) | ||
| Adamawa (Yola DisCo) | ||
| Aba (Aba Power Electric) |