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Electricity Distribution Franchising – Progressive Unbundling of Electricity Distribution Services in Nigeria

The Nigerian Electricity Regulatory Commission (NERC) is considering additional unbundling of the Electricity Distribution Sector in Nigeria. The NERC intends to do this by enforcing a franchising scheme that would allow third-party customer groups, structured as “registered associations”, to obtain a legal authorisation to provide electricity distribution services within the license area of an Electricity Distribution Company. Some of the electricity distribution services that will be subject of such franchise arrangements would include, metering, billing, collection, and additional investment in distribution networks. The NERC is hoping to better the improve of electricity supply to customers with the proposed franchising scheme.

A consultation paper on the proposed electricity distribution franchising scheme is available here

 

For additional inquiries or clarifications, please reach out to our Utilities & Renewables team via utilities@balogunharold.com

 

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