In a bid to foster synergy between the Federal Government and sub-national entities on electricity market development, the Minister of Power, Chief Adebayo Adelabu, on Tuesday, July 29, 2025, held a strategic engagement with State Commissioners of Energy across Nigeria.
The high-level meeting, which took place in Abuja, brought together energy leaders from various states to deliberate on aligning policies and strategies to drive the transformation of Nigeria’s power sector.
Chief Adelabu emphasized the importance of policy harmony between federal and state governments, especially in light of ongoing reforms following the constitutional amendment that decentralised electricity regulation and market participation to sub-national levels.
“We are at a crucial point in our journey to achieve a stable, reliable, and investor-friendly electricity market,” the minister said. “It is imperative that state governments align their electricity market development plans with national policies to prevent regulatory fragmentation, ensure grid stability, and build investor confidence.”
He noted that as more states begin to take advantage of the constitutional reform that empowers them to generate, transmit, and distribute electricity within their jurisdictions, there is a growing need for coordination and standardisation.
“This is not about imposing federal control,” Adelabu clarified, “but about ensuring that while states exercise their newfound autonomy, we maintain a unified direction to avoid market chaos and technical instability on the national grid.”
The Minister outlined key national priorities including the expansion and modernisation of the national grid, promotion of renewable energy sources, deepening rural electrification, and strengthening private sector investment. He called on states to adopt policies that complement these efforts, especially in areas such as metering, energy efficiency, infrastructure security, and investor incentives.
Participants at the meeting discussed various challenges unique to their regions, such as poor transmission infrastructure, non-cost-reflective tariffs, power theft, and lack of funding for mini-grid and off-grid projects. Several Commissioners expressed support for the Minister’s call and pledged to work with the Ministry of Power and relevant federal agencies to harmonise their state-level initiatives.
Commissioner for Energy in Lagos State, Mrs. Abike Ogundimu, stated that the meeting marked a new chapter in federal-state cooperation in the power sector. “Lagos is already advancing reforms with its own electricity law, but we understand the need for coordination to ensure grid compatibility and investor reassurance.”
Similarly, the Commissioner from Kaduna State, Mr. Ibrahim Shehu, urged for stronger technical cooperation between federal institutions such as the Transmission Company of Nigeria (TCN) and State electricity boards.
The engagement also featured presentations from the Nigerian Electricity Regulatory Commission (NERC), the Rural Electrification Agency (REA), and the Transmission Company of Nigeria, focusing on regulatory frameworks, funding models, and the National Electricity Grid Code.
Chief Adelabu reiterated the Federal Government’s commitment to supporting states in developing their energy markets, but warned that “uncoordinated development could compromise national energy security and threaten ongoing reforms.”
He urged all Commissioners to establish technical working groups that would collaborate regularly with the Ministry of Power and its agencies to ensure continuous alignment.
The meeting concluded with a resolution to establish an intergovernmental Electricity Policy Alignment Forum, which would meet quarterly to track progress, address emerging challenges, and review policy adjustments across all tiers of government.
This strategic dialogue is one of many initiatives being championed by Chief Adelabu since his assumption of office to restore investor confidence and improve service delivery in the nation’s power sector, which remains critical to Nigeria’s economic growth and industrialisation goals.
