State governments have voiced strong opposition to the Senate’s proposed amendment to the Electricity Act, warning it could strip them of regulatory authority over electricity distribution within their territories.
The Senate is currently reviewing amendments that would alter the framework established by the 2023 Electricity Act, which granted states powers to generate, transmit, and distribute electricity independently.
Governors under the Nigeria Governors’ Forum (NGF) argue the proposed changes represent a federal overreach that undermines the decentralization of the power sector. They insist states must retain autonomy to address local energy challenges and attract investments.
Senate proponents claim the amendment aims to create national uniformity and prevent regulatory chaos. However, state attorneys general have threatened legal action if the bill passes in its current form.
Energy analysts warn the dispute could delay critical infrastructure improvements and deter private sector participation in the power sector.
The bill has passed second reading and awaits public hearing.
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