Governor Monday Okpebholo of Edo State has been strongly advised to swiftly inaugurate the Edo State Electricity Regulatory Commission (ESERC). This call comes in light of the recent groundbreaking for a 100MW independent power plant in Ologbo, the first under the Edo State Electricity Law signed in 2025.
The construction of the CCETC power plant marks a significant step for Edo State's energy sector, aiming to address the long-standing issue of unreliable and unaffordable electricity that has hindered industrial growth and economic development. The author highlights the citizens' recent protests against the Benin Electricity Distribution Company (BEDC) as a clear indication of the public's demand for improved power supply.
While acknowledging the Governor's empathy with the protesters, the article emphasizes that political goodwill must translate into concrete regulatory action. The establishment of the ESERC is presented as the key mechanism to break the existing electricity monopoly and bring consistent power to the state.
For Edo State to successfully attract the necessary multi-million dollar investments in its electricity market, it must have a licensing framework that aligns with its own laws and the national Electricity Act of 2023. A fair and transparent system for electricity tariffs, which balances investor returns with consumer affordability, is also essential.
The Edo State Electricity Law 2025 provides the legal basis for the ESERC, empowering it to regulate the entire electricity value chain within the state. The Nigerian Electricity Regulatory Commission (NERC) has also given its approval for the transfer of regulatory oversight to the state. Therefore, the formation of the ESERC is the critical remaining step to operationalize Edo's electricity market.
The ESERC's primary role will be to foster a competitive market, akin to the telecommunications industry, by licensing new operators. It will also ensure that electricity pricing is equitable and reflects service quality, while simultaneously safeguarding consumers from unfair practices and ensuring adherence to technical and environmental standards by all operators.
Crucially, the article stresses that the appointment of the ESERC's leadership, including the Chairman and Commissioners, must be based on merit and expertise, not political considerations. The commission requires seasoned professionals in engineering, energy economics, and law, with substantial experience in power markets, to effectively manage the transition from NERC's oversight to state-level regulation.
A poorly managed transition, handled by inexperienced regulators, could lead to significant costs for electricity consumers and potentially impact Governor Okpebholo's political future.
Furthermore, the Edo State Government must ensure adequate and sustainable funding for the ESERC to maintain its independence and operational capacity. A well-funded regulator, free from external influence, is vital for attracting investment and fostering economic growth through a robust electricity sector.
Odion Omonfoman, the author, is the lead power consultant for the Nigeria Governors' Forum (NGF).
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