By Iniubong Sam
The Nigerian Electricity Regulatory Commission (NERC) has transferred regulatory oversight of the intrastate electricity market in Akwa Ibom State to the Akwa Ibom State Electricity Regulatory Commission (AKSERC).
The transfer was contained in Order No. NERC/2026/087 issued by NERC on August 18, 2026, pursuant to Section 230 of the Electricity Act, 2023.
However, the state regulatory commission said the order marked the beginning of a transition process and did not amount to an immediate change in the electricity market.
According to AKSERC, all transfers required under the order are expected to be completed by February 17, 2027.
The commission, in a public notice signed by its Chairman and Chief Executive Officer, Arit Uya, said the Port Harcourt Electricity Distribution Company (PHED) Plc would continue to supply, meter and bill electricity customers in the state during the transition.
It said existing customer accounts, meters and payment channels would remain valid.
The commission also clarified that the NERC order did not alter electricity tariffs, adding that any future review of end-user tariffs in the state would be undertaken by AKSERC in accordance with due regulatory processes.
Such a review, it said, would include a comprehensive assessment of the cost structure of the tariff and public consultations before any new tariff could take effect in the state.
AKSERC further stated that existing licences, permits and agreements would remain in force and would be transitioned to the Akwa Ibom Electricity Distribution Company.
As part of the process, PHED is required to incorporate a subsidiary electricity distribution company for Akwa Ibom State by October 17, 2026.
The new company will then apply to AKSERC for a licence to supply and distribute electricity within the state.
The commission said the Akwa Ibom electricity network would also be identified and separated during the transition, with metering installed at appropriate technical boundary points.
It added that assets, liabilities, contracts and employees attributable to Akwa Ibom would be transferred to the new electricity distribution company.
AKSERC said the transfers were to be completed by February 17, 2027, after which full regulatory responsibility for the intrastate electricity market would pass to the state commission.
The commission, however, said NERC would remain responsible for consumer protection and dispute resolution in the state until the transfers were completed.
It advised electricity consumers to continue directing complaints relating to supply, billing and metering to PHED in the first instance, while existing escalation arrangements under NERC’s consumer protection framework would remain in place.
AKSERC said it would work with PHED and NERC throughout the transition to ensure that consumer complaints and disputes were resolved.
It added that its customer care framework, including a complaints procedure, would be published before it assumes full responsibility.
The commission also clarified that NERC would continue to regulate cross-border and inter-state electricity transactions even after the transfer of regulatory responsibility for the Akwa Ibom intrastate market.
It said Section 230(9) of the Electricity Act requires AKSERC, NERC and other state electricity regulatory bodies to cooperate in minimising regulatory risks across the federal and state electricity markets.
While welcoming the NERC order, AKSERC cautioned that the transfer of regulatory oversight should not be interpreted as an immediate solution to the state’s electricity supply challenges.
The commission said regulation sets rules, holds licensees accountable and protects consumers, but does not by itself add generation capacity or rebuild electricity networks.
It said improved electricity supply and quality of service would depend on investment and disciplined execution over time.
According to the commission, the new arrangement would ensure that decisions affecting electricity consumers and businesses operating within Akwa Ibom’s electricity market are taken by a state regulator accountable to the people of the state.
AKSERC said it would continue to issue further notices as the transition progresses
