The Nigerian Electricity Regulatory Commission (NERC) has given private transmission substations connected to the national grid 45 days to obtain permits, in a move aimed at strengthening oversight and improving grid stability.
In a public notice issued on Wednesday, NERC introduced Order NERC/2026/013, effective March 9, 2026. The regulation establishes a new framework requiring owners of private transmission substations used by bulk electricity consumers to secure an Independent Electricity Transmission Network Operator (IETNO) Permit before operating or connecting to the grid.
The directive addresses frequent transmission line trips reported by the Nigerian Independent System Operator (NISO), which have raised concerns about grid reliability and safety. Under the order, NISO is mandated to deploy Internet of Things (IoT)-based metering systems at substation interconnection points within 120 days to enhance operational visibility. Permit holders must also submit monthly operational reports, and NISO will conduct inspections to ensure compliance with the Grid Code and other standards.
“The order aims to enhance grid stability, regulatory oversight, and compliance,” NERC stated, emphasizing that the measure is intended to create a more transparent and secure electricity supply infrastructure.
Separately, NERC has directed all electricity distribution companies (DisCos) to reimburse customers a total of N20.33 billion for meters procured under the Meter Asset Provider (MAP) framework. The “Amended Order on the Reimbursement of Meter Costs,” dated March 1, 2026, requires full recovery and disbursement to affected customers within 12 months. The regulator said the amended process will streamline notifications and improve accountability in the metering value chain.
Both regulatory actions underscore NERC’s intensified focus on enforcing compliance and rebuilding trust in Nigeria’s power sector. The IETNO permit requirement brings private grid-connected infrastructure under formal regulatory supervision, while the reimbursement order seeks to resolve long-standing financial grievances for metered consumers.
Observers note that successful implementation will depend on rigorous monitoring by NERC and NISO, as well as cooperation from private operators and DisCos. The developments are seen as critical steps toward a more stable and investor-friendly electricity market in Nigeria.
The report was compiled from NERC’s official public notices and statements.
