THE Nigerian Independent System Operator (NISO) has intervened to resolve the Enugu State Electricity Regulatory Commission (ESERC) tariff disruption and ensure sector market stability.
The Managing Director and Chief Executive Officer of NISO, Abdu Bello Mohammed, said this while declaring open a stakeholder engagement on tariff adjustment by the EERC on Wednesday, August 13, in Abuja.
He said the meeting was prompted by recent action by the EERC in revising the electricity tariff within its state.
He noted that the action, though within the state-level regulatory authority under the Electricity Act 2023, had drawn attention nationwide.
As such, the NISO boss urged respective states’ electricity regulatory commissions and distribution companies (DisCos) in various franchise areas to ensure their actions do not disrupt the Nigerian electricity industry.
He believes that the intention of the Enugu Electricity Distribution Company (EEDC) to curtail power supply to the state by up to 50 per cent in reaction to the tariff adjustment, if allowed to come into effect, would have serious operational implications.
“Such a measure, if implemented, could have serious operational implications, particularly at the TCN–DisCo interfaces where power transfer capacity Service Level Agreements (SLA) are managed.
“We believe that fair electricity prices, sustainable business operations, and a stable electricity market are not mutually exclusive goals — they are interdependent. Achieving all three requires dialogue, transparency, and coordination among all relevant institutions,” the NISO boss said.
The ICIR reported that Enugu State has been experiencing a lingering power outage that has left parts of the state in darkness.
The challenges started when, on July 21, the EERC reduced Band A electricity tariff to N160/kWh from N209, which raised concern among electricity distribution companies (DisCos) and electricity generation companies (GenCos).
It had led the EERC to summon MainPower Electricity, the successor to the EEDC, to address the vending challenges faced by customers.
The ICIR had also reported that the Nigerian Electricity Regulatory Commission (NERC) had said EERC has no regulatory power to fix the electricity price when the power is generated and transmitted from the national grid.
At the meeting on Wednesday, the NISO boss said he believes that achieving electricity market stability requires coordination and cooperation among stakeholders in the value chain.
“In simple terms, NISO is responsible for both commercial balance in the market and also for ensuring technical stability and operational compliance — both of which may be affected by the current situation.
“Hence, this intervention meeting is to ensure that no action disrupts the Nigerian electricity market stability, the integrity of contracts, or operational obligations that guarantee reliable supply to Nigerians,” Mohammed explained.
He noted NISO’s role in convening the meeting was based on market administration as well as system operations mandates through the instrumentalities of the Electricity Act 2023, the market rules, and the grid code.
According to him, the code empowers the market operator to administer the wholesale electricity market, ensure compliance with market rules, and uphold contractual obligations.
It also mandates NISO to safeguard the financial integrity and orderly operation of the market and requires it to convene consultations when any matter arises that could materially affect market operation or settlement.
Mohammed added that the code also assigns NISO responsibility for monitoring participants’ compliance with operational obligations, including dispatch instructions, system reliability, and service level agreements on power transfer capacity at TCN–DisCo interfaces.