FCCPC, NERC push uniform consumer protection across Nigeria’s electricity markets

The Federal Competition and Consumer Protection Commission and the Nigerian Electricity Regulatory Commission have called for closer collaboration among electricity regulators to ensure uniform consumer protection across Nigeria’s evolving electricity markets.

The appeal was made on Thursday during a stakeholders’ engagement on consumer protection and regulatory cooperation in Abuja, following the emergence of state electricity markets under the Electricity Act 2023.

Speaking at the event, the Executive Vice Chairman and Chief Executive Officer of the FCCPC, Tunji Bello, warned that differing regulatory standards across states could undermine investor confidence and weaken consumer protection.

He said the Electricity Act had transformed Nigeria’s power sector by allowing states to establish independent electricity regulatory commissions, but stressed that the reforms would only succeed through coordinated regulation.

“The success of this framework will depend not only on the effectiveness of each regulator, but also on how well we work together. Consumers experience electricity as one system and expect to be protected regardless of where they live,” Bello said.

He noted that while NERC regulates the electricity industry, NEMSA oversees technical standards, state commissions supervise intrastate electricity markets and the FCCPC provides economy-wide consumer protection, adding that the agencies’ roles are complementary.

Bello cited the suspension of the proposed replacement of obsolete Unistar prepaid meters in 2024 as an example of effective collaboration among regulators. He said the joint intervention ensured consumers were not required to pay for replacing obsolete meters or subjected to estimated billing during the process.

He urged regulators to prioritise preventing consumer harm rather than merely resolving complaints after they arise.

Also speaking, NERC’s Assistant Director and Head of Consumer Protection Department, Anthony Essien, said harmonised regulations were essential to maintaining investor confidence as more states establish electricity markets.

He warned that multiple regulatory standards across states could discourage investment, stressing the need for a coordinated approach to consumer protection.

Representatives of state electricity regulators also backed stronger cooperation.

Chairman of the Enugu State Electricity Regulatory Commission, Chijioke Okonkwo, said collaboration would enable state regulators to learn from federal institutions and strengthen consumer protection.

Similarly, Chairman of the Anambra State Electricity Regulatory Commission, Prof. Frank Nwoye Okafor, warned that regulatory fragmentation could create uncertainty for investors.

“The biggest nightmare for an investor is trying to figure out 36 different rules. But if we have this sort of coordination, then we start singing from the same hymn sheet,” he said.

The Electricity Act 2023 decentralised Nigeria’s electricity sector by allowing states to establish and regulate their own electricity markets after meeting constitutional and regulatory requirements.

Since the law came into effect, 16 states, including Lagos, Enugu, Plateau and Anambra, have established electricity regulatory commissions as part of efforts to improve power supply and attract private investment.