Vice-President Kashim Shettima has urged state governments to end their reliance on the Federal Government for electricity solutions by establishing functional power markets and attracting private investment....
Vice-President Kashim Shettima has urged state governments to end their reliance on the Federal Government for electricity solutions by establishing functional power markets and attracting private investment.
Shettima said Nigeria’s ambition to build a competitive industrial economy would remain constrained unless electricity reforms translated into reliable power for businesses, households and public institutions.
He spoke on Wednesday while declaring open a national stakeholders’ workshop on the Electricity Act 2023 at the State House Banquet Hall, Abuja.
Represented by the Deputy Chief of Staff to the President, Ibrahim Hassan Hadejia, the Vice-President said the law provided an opportunity for states to develop electricity markets suited to their economic needs and available resources.
“The Act empowers States to develop and regulate intrastate electricity markets within the applicable constitutional and statutory framework.
“Electricity supply must become a shared responsibility, pursued with innovation and accountability across the Federation. Our States must shed the habit of waiting for Abuja to provide every answer,” he said.
Shettima identified solar energy potential in Sokoto, Borno and Katsina, gas resources in Delta, Rivers and Bayelsa, and hydroelectric opportunities in Niger and Kebbi as resources states could harness to expand electricity access.
He urged state governments to convert these advantages into investments capable of powering agriculture, manufacturing, healthcare and education.
The Vice-President warned that the Electricity Act would not automatically improve power supply, calling on states yet to establish regulatory institutions to begin the process without delay.
“Legislation cannot implement itself. States yet to act must begin their legislative and institutional preparations promptly. They need to establish functional electricity regulatory bodies with technical competence and capacity,” he said.
To accelerate implementation, Shettima proposed a National Electricity Reform Peer Review and Implementation Framework involving the Nigerian Electricity Regulatory Commission (NERC), Federal Ministry of Power, Nigeria Governors’ Forum and state electricity regulators.
He said the voluntary framework would enable states to exchange experiences, strengthen regulatory capacity and assess progress in market development, investment readiness, consumer protection and electricity access.
“No State needs to purchase with failure the knowledge another State has already acquired,” he said.
According to him, annual reviews would identify implementation challenges, facilitate technical assistance and promote practical solutions without undermining the constitutional powers of states.
Shettima also stressed that private investment was essential to addressing Nigeria’s electricity infrastructure needs, noting that government funding alone could not finance the required transformation.
“Government cannot finance this transformation from the treasury alone; private capital must arrive with technology and expertise. Transparent licensing, predictable regulation, commercially viable markets, investment safeguards and credible dispute resolution will earn investors’ confidence,” he said.
He reaffirmed President Bola Tinubu’s commitment to expanding electricity access through policies aimed at encouraging investment, strengthening institutions and improving service delivery.
The Vice-President also called for stronger consumer protection against arbitrary billing, poor service and unfair commercial practices, insisting that electricity operators must be held accountable.
“The final verdict on this law will be delivered wherever a Nigerian reaches for a switch. Entrepreneurs need dependable power, young Nigerians need employment, and investors need transparent rules under which enterprise can prosper,” he added.
Earlier, the Permanent Secretary of the Federal Ministry of Power, Mahmuda Mamman, who represented the Minister of Power, said the success of the Electricity Act would depend on states establishing credible institutions and commercially viable electricity markets.
He said state-level electricity planning would enable governments to respond more effectively to local demand and infrastructure needs.
The Director-General of the Nigeria Governors’ Forum, Abdulateef Shittu, said the forum was working to improve coordination between federal and state institutions.
Shittu disclosed that efforts were underway to develop a standard tariff framework for states that would protect consumers while promoting investment and commercial sustainability.
He urged stakeholders to ensure that any amendments to the existing legal framework strengthened progress already made in electricity regulation.
Also speaking, the Deputy General Manager (Compliance) and Head of Compliance at NERC, Hauwa Yakubu, said the commission had issued regulatory transfers to 17 states, with Akwa Ibom the latest.
She said NERC was supporting emerging state electricity regulators through peer-to-peer training and technical engagement.
According to Yakubu, the Electricity Act 2023 introduced a system of multilevel electricity regulation, bringing regulatory responsibilities closer to consumers and enabling states to address their specific power challenges.