Shettima to Governors: End states' reliance on FG over electricity issues

Vice President Kashim Shettima has urged state governments to take full advantage of the Electricity Act 2023 by establishing functional electricity markets, attracting private investment and ending their dependence on the federal government for solutions to local power challenges.

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He 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 across the country.

Mr Shettima stated this on Wednesday while declaring open the National Stakeholders’ Workshop on the Electricity Act 2023 at the State House Banquet Hall, Presidential Villa, Abuja.

The workshop, themed “Unlocking the Opportunities of the Electricity Act 2023 for Sustainable Energy Development and Economic Growth in Nigeria,” brought together federal and state institutions, regulators and other stakeholders to review the implementation of the legislation.

Represented by Deputy Chief of Staff to the President, Ibrahim Hadejia, the vice president said the Act had created an opportunity to decentralise electricity governance and enable states to develop power 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. The size, diversity and endowments of this nation demand this decentralisation.

“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.

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Mr Shettima identified the country’s diverse energy resources as a major opportunity for expanding electricity access, citing solar potential in Sokoto, Borno and Katsina, gas resources in Delta, Rivers and Bayelsa, and hydroelectric opportunities in Niger and Kebbi.

He urged states to translate these advantages into investments capable of powering agriculture, manufacturing, healthcare and education.

The vice president, however, warned that legislation alone would not guarantee improved electricity supply, calling on states yet to establish their 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 strengthen implementation, VP 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 (NGF) and state electricity regulators.

He explained that the proposed voluntary framework would allow states to exchange experiences, strengthen regulatory institutions 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 voluntary reviews should identify implementation challenges, facilitate technical assistance and promote practical solutions without undermining the constitutional powers of states.

The vice president also emphasised the importance of private sector participation, noting that government funding alone could not meet Nigeria’s electricity infrastructure requirements.

“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 stated.

He reaffirmed President Bola Tinubu’s commitment to expanding electricity access through policies that encourage investment, strengthen institutions and improve service delivery.

“Under His Excellency, President Bola Ahmed Tinubu, GCFR, the Federal Government will sustain policies and partnerships for accessible, reliable, efficient and progressively affordable electricity for households and businesses,” Mr Shettima said.

He also called for stronger consumer safeguards against arbitrary billing, poor service and unfair commercial practices, insisting that electricity operators must be held accountable for service quality.

“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 the capacity of states to establish credible institutions and commercially viable electricity markets.

He noted that state-level electricity planning would allow governments to respond more effectively to local demand and infrastructure requirements.

Also speaking, the Director-General of the Nigeria Governors’ Forum, Abdulateef Shittu, said the forum was working to strengthen coordination between federal and state institutions in implementing the legislation.

He disclosed that efforts were underway to develop a standard tariff framework for states to protect consumers while promoting investment and commercial sustainability.

Mr Shittu urged stakeholders to ensure that any amendments to the existing legal framework strengthened progress already recorded in electricity regulation.

In her remarks, the Deputy General Manager (Compliance) and Head of Compliance at NERC, Hauwa Yakubu, disclosed that the commission had issued regulatory transfers to 17 states, with Akwa Ibom being the most recent.

She said the commission had continued to support emerging state electricity regulators through peer-to-peer training and technical engagement.

According to her, the Electricity Act 2023 introduced a new era of multilevel electricity regulation, bringing regulatory responsibilities closer to consumers and allowing states to address their peculiar electricity challenges.

Stanley Nkwocha
Senior Special Assistant To The President on Media & Communications
(Office of The Vice President)
21st October, 2026