Decentralising Nigeria’s power sector | TheCable

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OPINION BY OLADAYO OROLU: Decentralising Nigeria’s power sector | TheCable

When President Muhammadu Buhari announced constitutional amendments that aim to decentralise the country’s power sector, it sent shock waves throughout the country as it brought up a rare opportunity to transform this long-suffering sector and make it fit for Africa’s largest and most populous country.

The transmission grid is 100% controlled by the federal government, while electricity distribution companies are controlled by private operators . There is no uniformity of purpose or objective among these players. Each stakeholder in the power sector does what they consider best and does it in silos, making it very difficult to reform this sector.Funding is also a challenge.

With the removal of the power sector from the exclusive legislative list of the constitution to the concurrent legislative list, sub-national governments can now adjudicate over specific areas of this sector. This change could result in the transformation that will enable Nigeria’s power sector to finally reach its full potential.Following the changes to the constitutions, sub-national State governments can now design, create, and implement electricity supply markets within their sub-regions.

 

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