Senator Gabriel Suswam, representing Benue North East Senatorial District, has stated that the Electricity Bill, 2022, which was signed into law on Wednesday, has primarily demonopolised power generation in Nigeria.
He stated that the space for generating power has been opened to the point where states and individuals can venture into power generation and distribution.
This, he said, was a model used in China that has given the country stability in power generation, noting that the country’s never-ending power crisis has prompted the National Assembly, through the Committee on Power, which he chairs, and other stakeholders to look elsewhere for solutions.
Senator Suswam stated during a press briefing with the Senate Press Corps following Wednesday’s plenary, during which the bill was passed into law, that states can also licence power investors, though power generation and distribution must remain within the state.
He stated, “The State can now generate her own source of power.” Any state with the capacity to do so without a licence could do so knowing that the issue of electricity was part of the concurrent part of our Constitution.
“The Act has enabled the licencing of individuals with the capacity to establish minigrids.” Not only mini-grids, but also power plants within the state. It means that the state-licensed power plant will not be permitted to operate outside of their state.
“Anything beyond the state will be licenced by the Nigeria Electricity Regulatory Commission (NERC), and the states that will be licenced will have their own regulatory authority, just as we have NERC at the federal level.”
“To lincense mini grids for individuals who have the ability to establish the mini grid and operate within the franchise that would be given to them either by the state or the federal government.”
According to him, the bill includes legal support for renewable energy generation.
“In addition, the issue of renewable energy will now have legal backing in addition to generating one megawatt as an alternative source of power, and has also been incorporated and provided.” So, for those who want to generate power, all of these have legal support.
“We’re looking for ways to solve power issues.” I was in China not long ago, and some of the power generated is owned by the community within the community, and there is electricity everywhere you go.
“That is to say, the space is now open and there are few restrictions on generating and distributing power.”
“When the president signs the bill, you will see that anyone who wants to generate power under one megawatt does not need a licence to do so.”
“We have also expanded NERC’s powers as a regulator so that they can regulate and address the issue of failing licensees.”
