Shettima Calls on Governors to Reduce Dependence on FG for Electricity

Vice President Kashim Shettima has asked state governors to use the Electricity Act 2023. He wants them to create functional electricity markets, attract private investment, and stop relying on the federal government for local power problems.

He said that Nigeria’s goal to build a strong industrial economy will be limited unless electricity reforms provide reliable power for businesses, homes, and public institutions across the country.

Mr Shettima shared these views on Wednesday at the National Stakeholders’ Workshop on the Electricity Act 2023. This event took place at the State House Banquet Hall in Abuja.

The workshop, themed “Unlocking the Opportunities of the Electricity Act 2023 for Sustainable Energy Development and Economic Growth in Nigeria,” gathered federal and state officials, regulators, and other stakeholders to review how the law is being implemented.

Represented by Ibrahim Hadejia, the Deputy Chief of Staff to the President, Shettima said the Act offers a chance to decentralise electricity management. It allows states to develop power markets that fit their economic needs and 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.

Mr Shettima pointed out that Nigeria has various energy resources that can help increase electricity access. He highlighted solar power potential in Sokoto, Borno, and Katsina, gas resources in Delta, Rivers, and Bayelsa, and hydroelectric options in Niger and Kebbi.

He encouraged states to turn these advantages into investments that can support agriculture, manufacturing, healthcare, and education.

However, he warned that just having a law will not improve electricity supply. He called on states that have not set up their regulatory bodies to start 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 help with implementation, VP Shettima suggested a National Electricity Reform Peer Review and Implementation Framework. This would involve the Nigerian Electricity Regulatory Commission (NERC), the Federal Ministry of Power, Nigeria Governors’ Forum (NGF), and state electricity regulators.

He explained that this voluntary framework would let states share experiences, strengthen regulatory bodies, and check progress in market development and electricity access.

“No state needs to purchase with failure the knowledge another State has already acquired,” he said.

Mr Shettima added that yearly voluntary reviews should identify challenges, provide technical help, and create practical solutions without taking away states' constitutional powers.

He also stressed the need for private sector involvement. He said that government funding alone cannot meet Nigeria’s electricity needs.

“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 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 better protection for consumers against unfair billing and poor service, insisting that electricity providers must be held accountable for the quality of their services.

“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, Mahmuda Mamman, Permanent Secretary of the Federal Ministry of Power, who spoke for the Minister of Power, said the success of the Electricity Act depends on states' ability to create credible institutions and viable electricity markets.

He mentioned that planning at the state level would allow governments to respond better to local demands and infrastructure needs.

Also speaking, Abdulateef Shittu, Director-General of the Nigeria Governors’ Forum, said the forum is working to improve coordination between federal and state bodies in implementing the law.

He revealed that they are working on a standard tariff framework for states to protect consumers while encouraging investment and sustainability.

Mr Shittu urged stakeholders to make sure that any changes to the current legal framework support the progress made in electricity regulation.

In her comments, Hauwa Yakubu, Deputy General Manager (Compliance) at NERC, said the commission has given regulatory approvals to 17 states, with Akwa Ibom as the most recent.

She stated that the commission continues to support new state electricity regulators through training and technical help.

According to her, the Electricity Act 2023 marks a new era of electricity regulation. It brings regulatory duties closer to consumers and allows states to tackle their specific electricity challenges.