Governor of Ondo State, Lucky Aiyedatiwa, has assented to the Ondo State Electric Power Sector (Amendment) Law, 2026, strengthening the legal and institutional framework for electricity generation, transmission, and distribution across the state.
Aiyedatiwa signed legislation following its passage by the Ondo State House of Assembly, after amending the existing 2020 law to align with the constitutional and statutory developments in Nigeria’s electricity sector, particularly the Electricity Act, 2023.
The amended law introduces a raft of institutional and regulatory reforms aimed at decentralizing the state’s electricity market and creating an enabling environment for increased generation, transmission, and distribution of power.
At the heart of the new framework is the establishment of the State Electricity Regulatory Commission (SERC), an independent body vested with the authority to oversee all electricity activities and standards across the state.
The commission is empowered to regulate tariffs, manage open access arrangements, oversee franchises, facilitate third-party investments, and supervise the development of mini-grids and renewable energy projects.
The SERC will also assume responsibility for issuing licenses and permits for electricity generation, transmission, and distribution facilities and creating a centralized regulatory authority for the state’s power sector.
The law also provides for the creation of the State Independent System Operator (SISO) and the State Market Operator (SMO), both designed to facilitate the effective operation and development of the state electricity market.
One of the provisions of the new law is the requirement for compulsory metering across both grid-connected and off-grid areas, with electricity sellers obligated to provide appropriate metering devices to consumers, who will maintain direct service and payment relationships with their respective electricity providers.
The legislation also provides protection for electricity infrastructure financed by communities, associations, and private individuals; with transformers, distribution lines, and other facilities connected to the public distribution network, they will now enjoy legal protection against arbitrary interference.
The amended law introduces the offense of “Electricity Infrastructure Expansion Sabotage,” targeting individuals who deliberately prevent certified electricity infrastructure from being connected to the grid. A first conviction carries a fine of ₦2 million, with an additional ₦25,000 penalty for every day the refusal continues after written notice from the regulatory authority.
To ensure quality and safety standards, the law establishes the Equipment Standards and Competence Certification Agency (ESCCA), which will be responsible for inspecting, testing, and certifying electrical equipment and installations. The agency will also license and accredit electrical installers, technicians, contractors, and operators operating within the state.
Speaking on the development, the Commissioner for Energy and Mineral Resources, Johnson Alabi, described the move as a milestone in the government’s efforts to build a modern, sustainable, and investment-driven electricity sector.
He said the law provides the legal foundation for Ondo State to take full advantage of the opportunities created by the decentralization of Nigeria’s electricity market.
According to the commissioner, the legislation would encourage private-sector participation, strengthen regulation, protect investments, expand electricity infrastructure, and promote renewable and alternative energy sources across the state.
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