Shettima Blasts States Over Power Woes, Says Govs Must Stop Waiting for Abuja

Vice-President Kashim Shettima has challenged state governments to take responsibility for addressing electricity problems in their jurisdictions, urging them to stop depending on the Federal Government for solutions and establish functional power markets.

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

Represented by the Deputy Chief of Staff to the President, Senator Ibrahim Hadejia, the Vice-President said Nigeria’s ambition to build a competitive industrial economy would remain constrained unless electricity reforms delivered reliable power to businesses, households and public institutions.

He said the Electricity Act 2023 had created an opportunity for states to decentralise electricity governance and develop power markets that reflect their economic needs and available energy resources.

“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 the country’s diverse energy resources as an opportunity for states to expand electricity access and attract investment. He cited the solar energy potential of Sokoto, Borno and Katsina states, the gas resources of Delta, Rivers and Bayelsa states, and the hydroelectric opportunities in Niger and Kebbi states.

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He urged governors to harness these resources to support agriculture, manufacturing, healthcare, education and other economic activities.

The Vice-President also warned that passing laws alone would not improve electricity supply, insisting that states must establish the institutions needed to regulate and manage their electricity markets effectively.

“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 voluntary National Electricity Reform Peer Review and Implementation Framework involving the Nigerian Electricity Regulatory Commission (NERC), the Federal Ministry of Power, the Nigeria Governors’ Forum and state electricity regulators.

The proposed framework would allow states to exchange experiences, strengthen regulatory capacity and assess their progress in electricity market development, investment readiness, consumer protection and access to electricity.

He said periodic reviews would help identify implementation challenges, encourage technical assistance and enable states to learn from jurisdictions that had made progress, without undermining their constitutional powers.

Shettima further stressed that government funding alone could not finance the transformation required in the electricity sector, calling for greater participation by private investors.

He said transparent licensing procedures, predictable regulations, commercially viable electricity markets, investment safeguards and credible dispute-resolution mechanisms would help build investor confidence.

The Vice-President also called for stronger consumer protection, warning against arbitrary billing, poor service delivery and unfair commercial practices. He maintained that electricity operators must be held accountable for the quality of service provided to consumers.

“The final verdict on this law will be delivered wherever a Nigerian reaches for a switch,” he said, stressing that the success of the reforms should ultimately be measured by improvements in electricity supply and the daily lives of Nigerians.

Meanwhile, the Director-General of the Nigeria Governors’ Forum, Abdulateef Shittu, said the forum was working on a standard tariff framework for state electricity markets, with the aim of protecting consumers while encouraging investment.

The Head of Compliance at NERC, Hauwa Yakubu, disclosed that the commission had issued regulatory transfers to 17 states, allowing them to assume regulatory responsibilities for electricity markets within their territories.

She said the commission was supporting emerging state regulators through technical engagement and peer-to-peer training.

Signed into law by President Bola Ahmed Tinubu in June 2023, the Electricity Act 2023 provides a framework for states to regulate electricity generation, transmission and distribution within their jurisdictions, subject to the applicable constitutional and statutory provisions. The national regulator retains oversight of electricity matters that fall within federal jurisdiction.

The law is expected to encourage competition, attract investment and expand electricity access. However, its impact will depend on effective implementation, functioning regulatory institutions and the ability of state governments to develop sustainable electricity markets.