By Solomon OKPO
President Bola Ahmed Tinubu has signed the Electricity Act (Amendment) Bill 2025 into law, marking a historic shift in Nigeria’s power sector governance.
The new law removes electricity from the Exclusive Legislative List of the 1999 Constitution, effectively devolving authority over electricity generation, transmission, distribution, and regulation from the Federal Government to state governments.
With the amendment now in force, state governments are legally empowered to generate, transmit, distribute, and regulate electricity within their respective jurisdictions without exclusive reliance on federal agencies. This development significantly reduces the centralised control previously exercised by the Federal Government over the power sector.
Policy analysts describe the move as a bold step toward true federalism, expected to unlock private sector investment, encourage innovation, and accelerate electricity access across the country. States are now positioned to develop independent power projects tailored to their local energy needs, including renewable and off-grid solutions.
The Tinubu administration has consistently argued that decentralising electricity control is critical to solving Nigeria’s chronic power challenges, improving industrial productivity, and stimulating economic growth at the subnational level.
While the amendment opens new opportunities, experts caution that effective implementation, regulatory clarity, and strong institutional capacity at the state level will determine its ultimate success.
The signing of the Electricity Act (Amendment) Bill 2025 is widely seen as one of the most consequential structural reforms in Nigeria’s power sector in decades, redefining the balance of power between the centre and the states.
The Evangelist News
