LASERC to regulate Lagos electricity market – FG.

LASERC to regulate Lagos electricity market – FG.

The Nigerian Electricity Regulatory Commission (NERC) has officially transferred regulatory oversight of the electricity market in Lagos State to the Lagos State Electricity Regulatory Commission (LASERC). This move is in line with the amended Constitution of the Federal Republic of Nigeria and the Electricity Act of 2023, which allows states to assume regulatory control over their intrastate electricity markets.

As part of this transfer, NERC has issued an order outlining the steps for a smooth transition of responsibilities to LASERC. This includes requiring the two major electricity distribution companies operating in Lagos, Eko Electricity Distribution Plc (Eko DisCo) and Ikeja Electric Plc (Ikeja DisCo), to establish subsidiaries to handle intrastate supply and distribution of electricity in Lagos State ¹.

These subsidiaries, Eko DisCo SubCo and Ikeja DisCo SubCo, must be incorporated within 60 days and will need to obtain licenses from LASERC to operate. The entire transfer process is expected to be completed by June 4, 2025.

This development reflects the increasing decentralization of regulatory power in the Nigerian electricity sector, giving states more autonomy to manage their local energy markets. While NERC will continue to regulate national activities, LASERC will be responsible for overseeing Lagos' intrastate electricity market .