Vice President Kashim Shettima has urged state governments to stop relying on the Federal Government for solutions to electricity challenges, calling on them to take full advantage of the Electricity Act 2023 by establishing functional electricity markets and attracting private investment.
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. He was represented by the Deputy Chief of Staff to the President, Senator Ibrahim Hassan Hadejia.
The workshop, themed “Unlocking the Opportunities of the Electricity Act 2023 for Sustainable Energy Development and Economic Growth in Nigeria,” brought together federal and state institutions, regulators and other stakeholders to assess the implementation of the landmark legislation.
The Vice President said Nigeria’s dream of building a competitive industrial economy would remain difficult to achieve unless electricity reforms translated into reliable power for businesses, homes and public institutions across the country.
He explained that the Electricity Act 2023 had created an opportunity to decentralise electricity governance by allowing states to develop and regulate their own electricity markets based on their unique economic needs and natural 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.
Shettima highlighted Nigeria’s vast energy resources, pointing to the solar potential of Sokoto, Borno and Katsina, the gas reserves in Delta, Rivers and Bayelsa, as well as hydroelectric opportunities in Niger and Kebbi States.
He urged state governments to convert these natural advantages into investments capable of powering agriculture, manufacturing, healthcare, education and other critical sectors of the economy.
The Vice President, however, warned that passing laws alone would not improve electricity supply, stressing that states yet to establish electricity regulatory institutions should begin the process immediately.
“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 stated.
To accelerate implementation, Shettima proposed a National Electricity Reform Peer Review and Implementation Framework involving the Nigerian Electricity Regulatory Commission (NERC), the Federal Ministry of Power, the Nigeria Governors’ Forum (NGF) and state electricity regulators.
According to him, the voluntary framework would enable states to exchange experiences, strengthen regulatory institutions and measure progress in areas such as investment readiness, consumer protection, electricity access and market development.
“No State needs to purchase with failure the knowledge another State has already acquired,” he said.
He added that annual peer reviews would help identify implementation challenges, facilitate technical support and encourage practical solutions without infringing on the constitutional powers of states.
Shettima also stressed that government funding alone could not provide the huge investment required to transform Nigeria’s electricity sector, calling for greater private sector participation.
“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 said.
He reaffirmed President Bola Ahmed Tinubu’s commitment to expanding electricity access through policies that encourage investment, strengthen institutions and improve service delivery.
The Vice President also called for stronger consumer protection against arbitrary billing, poor electricity supply and unfair commercial practices, insisting that power companies must be held accountable for service delivery.
“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, the Permanent Secretary of the Federal Ministry of Power, Mahmuda Mamman, who represented the Minister of Power, said the success of the Electricity Act would depend largely on the ability of states to establish credible institutions and commercially viable electricity markets.
He noted that state-led electricity planning would enable governments to address local energy demand and infrastructure needs more effectively.
Also speaking, the Director-General of the Nigeria Governors’ Forum, Dr Abdulateef O. T. Shittu, said the forum was working to improve coordination between federal and state governments in implementing the Electricity Act.
He disclosed that efforts were ongoing to develop a standard tariff framework that would protect consumers while ensuring investment and commercial sustainability.
Shittu also urged stakeholders to ensure that any future amendments to the legal framework strengthened, rather than reversed, the gains already recorded in electricity sector reforms.
In her remarks, the Deputy General Manager (Compliance) and Head of Compliance at the Nigerian Electricity Regulatory Commission, Hauwa Yakubu, disclosed that the commission had transferred electricity regulatory powers to 17 states, with Akwa Ibom being the latest beneficiary.
She said NERC had continued to support emerging state electricity regulators through technical assistance, peer-to-peer learning and capacity-building programmes.
According to her, the Electricity Act 2023 has ushered in a new era of multilevel electricity regulation, bringing governance closer to consumers and enabling states to address their unique electricity challenges.