By Felix Kuyinu
The Lagos State Government, LASG, has gained control of it’s electricity market following the transfer of regulatory functions from the Nigeria Electricity Regulatory Commission, NERC, to the Lagos State Electricity Regulatory Commission, LASERC.
During the handing over of the regulatory rights on Thursday held at the NERC headquarters in Abuja, the new measure was said to be in alignment with the Electricity Act, 2023. Reports show that the transition will empower the Lagos State to regulate it’s intrastate electricity markets to ensure further decentralization of the country’s power sector.
The handing over which makes Lagos State become one of the few states in Nigeria to gain full regulatory control of its electricity market, will see the Eko Electricity Distribution Plc, EKEDP, and the Ikeja Electric Plc, IE, establish subsidiaries in EKEDP SubCo and IE SubCo, respectively to manage electricity supply and distribution exclusively within the metropolis.
The directive will also see the subsidiaries incorporated within 60 days, dating from December 5, 2024, witj obtained licenses from LASERC. Furthermore, the transition, including all necessary regulatory and operational adjustments, is expected to be completed by June 4, 2025.
Speaking at the event, the state’s Commissioner for Energy and Mineral Resources, Biodun Ogunleye, commended the NERC for its visionary leadership in enabling initiative.
Ogunleye reaffirmed the state’s readiness to deliver improved electricity services,highlighting the immense opportunities the transfer presents for the region to tailor policies to its unique needs, enhance service delivery, and attract private sector investments to drive innovation and economic growth.
The Commissioner said: “This development signals a new era for electricity governance in Lagos State.
“With LASERC at the helm, the state government is poised to oversee operations more effectively, ensuring responsive and efficient electricity distribution to meet the demands of Lagosians.
