Aiyedatiwa assents to Ondo electricity sector amendment law

Governor Lucky Aiyedatiwa of Ondo State
Ondo State Governor, Lucky Aiyedatiwa, has assented to the Ondo State Electric Power Sector (Amendment) Law, 2026, strengthening the legal and institutional framework for electricity generation, transmission and distribution across the state.

In a statement issued on Thursday by the Governor’s Chief Press Secretary, Prince Ebenezer Adeniyan, the new law, passed by the Ondo State House of Assembly, amends the Ondo State Electric Power Sector Law, 2020.

It also aligns the state’s electricity framework with recent constitutional and statutory developments in Nigeria’s power sector, particularly the Electricity Act, 2023.

A key provision of the amended law is the establishment of the State Electricity Regulatory Commission (SERC) as an independent regulatory body responsible for overseeing electricity activities and standards across Ondo State.

The commission will regulate tariffs, open access, franchises, third-party investments, mini-grids, renewable energy development and other aspects of the state’s electricity market. It will also issue licences and permits for electricity generation, transmission and distribution facilities.

The new legal framework is expected to create an enabling environment for increased electricity generation and distribution, attract fresh investments and support the development of a more reliable and sustainable electricity market across the state.

The law also provides for the establishment of the State Independent System Operator (SISO) and State Market Operator (SMO) to facilitate the efficient operation and development of the state electricity market.

Another major provision is compulsory metering for both grid-connected and off-grid electricity consumers. Electricity sellers are required to provide appropriate metering devices, while consumers will maintain direct service and payment relationships with their respective electricity providers.

The amended law further provides legal protection for electricity infrastructure financed by communities, associations and private individuals. Transformers, distribution lines and other facilities connected to the public distribution network will be protected against arbitrary interference.

It also creates the offence of “Electricity Infrastructure Expansion Sabotage” for anyone who deliberately prevents certified electricity infrastructure from being connected to the grid.

A first conviction attracts a fine of ₦2 million, in addition to a further ₦25,000 for each day the refusal continues after written notice from the regulatory authority.

The law establishes the Equipment Standards and Competence Certification Agency (ESCCA), which will inspect, test and certify electrical equipment and installations, as well as license and accredit electrical installers, technicians, contractors and operators.

The legislation also strengthens the role of the Ondo State Power Company as the commercial arm of the state government in the power sector. The company is empowered to invest in electricity generation, transmission and distribution, including mini-grids, independent distribution networks, renewable energy, emerging energy technologies and small hydro projects.

The new framework is expected to provide greater certainty and confidence for investors, with provisions allowing the state government to grant specified exclusivity rights to investors developing electricity generation, transmission, distribution and related fuel-supply infrastructure.

It also designates electricity investments made by the state government, its agencies, communities, individuals and other recognised stakeholders as “State Protected Investments”, placing an obligation on the state and its agents to safeguard such investments.

Speaking on the development, the Commissioner for Energy and Mineral Resources, Engr. Johnson Alabi, described the Governor’s assent as a major milestone in the state government’s efforts to build a modern, sustainable and investment-driven electricity sector.

According to Alabi, the law provides the legal foundation for Ondo State to take full advantage of opportunities created by the decentralisation of Nigeria’s electricity market.

He said the legislation would encourage private-sector participation, strengthen regulation, protect investments, improve metering, expand electricity infrastructure and promote renewable and alternative energy sources across the state.

Aiyedatiwa reaffirmed his administration’s commitment to using the electricity sector as a catalyst for industrialisation, economic development and an improved quality of life for the people of Ondo State.