Tariff Dispute: NERC Engages State Regulators, Discos in Lagos

The Nigerian Electricity Regulatory Commission (NERC) has convened a meeting with state electricity regulators, distribution companies, and other key players in the power sector to tackle lingering disputes over tariff-setting powers and other transition challenges.

The two-day session, which began on Monday in Lagos, forms part of NERC’s quarterly stakeholders’ engagement and marks the third edition for 2025. It comes amid growing tension between state governments and electricity distribution companies (Discos) over who has the legal authority to determine tariffs payable by consumers.

Confirming the meeting in posts on its official social media platforms, NERC disclosed that State Electricity Regulatory Commissions and Bureaus (SERCs/SERBs) were in attendance, alongside other industry operators. The commission noted that discussions touched on issues such as metering, account setup, and SubCo governance.

A major highlight of the deliberations was the proposal to establish a Forum of Regulators aimed at fostering cooperation between federal and state-level regulators and strengthening oversight in the Nigerian Electricity Supply Industry (NESI).

According to NERC, the stakeholder meeting also addressed broader reforms, including delineation of assets and liabilities, the gradual transfer of regulatory functions to states, and the ongoing customer band migration exercise.

“This quarterly meeting continues to serve as a vital platform for collaboration, alignment, and progress in shaping the future of Nigeria’s electricity supply industry,” the commission stated.

While details of Monday’s closed-door discussions have yet to be made public, the meeting is expected to continue on Tuesday.

Efforts to reach NERC’s General Manager of Public Affairs, Dr. Usman Abba-Arabi, were unsuccessful as of press time. However, speaking ahead of the forum last week, Abba-Arabi confirmed that invitations had been extended to state regulatory commissions, Discos, and other stakeholders, describing it as a critical avenue to deliberate on challenges facing the sector and propose workable solutions.