The Ondo State Government has commenced a comprehensive review of the Ondo State Electric Power Sector Law 2020, aiming to strengthen governance, improve regulatory efficiency, and accelerate electricity development across the state.
The review session took place during a public hearing in Akure, bringing together officials from the Ondo State Ministry of Energy and Mineral Resources, members of the Ondo State House of Assembly, and key industry stakeholders.
Opening the hearing at the Assembly Complex, the Speaker of the House, Rt. Hon. Olamide Oladiji explained that the exercise is a critical step in ensuring the state’s legislative framework meets its intended goals.
He noted that the proposed amendments are expected to bolster infrastructure sustainability through expanded commercial activities while enhancing security through improved street lighting across the state.
The Commissioner for Energy and Mineral Resources, Engr. (Dr.) Johnson Alabi stated that the electricity sector has undergone a significant transformation following the Federal Electricity Act of 2023, which decentralized the market and empowered states to take a leading role in regulation and development.
He emphasized that this review is necessary to ensure Ondo State’s laws align with current national reforms and evolving industry realities.
The proposed amendments focus on modernizing the state’s electricity framework to support the growing role of subnational governments. Key provisions include strengthening governance by formally establishing the Ondo State Power Company Limited as the commercial arm for implementing power projects and managing state electricity assets.
The role of the Ondo State Electricity Regulatory Bureau will also be reinforced as an independent regulator responsible for licensing, market oversight, technical regulation, and consumer protection. A new Equipment Standards and Competence Certification Department will be created to enforce strict technical and safety standards.
Furthermore, the bill introduces stricter regulatory enforcement, including sanctions and penalties for sabotage, refusal to connect eligible consumers, and non-compliance with standards.
To encourage private sector participation, the law includes financial and legal provisions such as clearer tariff guidelines, open access to infrastructure, and the regulation of third-party investments.
To accelerate infrastructure development, regulatory approval will be required for new electricity facilities, and the framework will prioritize universal metering for consumer protection.
The state government will also have the authority to grant exclusive service rights to qualified investors in specific areas to improve supply.
Stakeholders at the hearing described this review as a pivotal step in positioning Ondo State as a leading subnational electricity market.
The amended law is expected to be finalized and presented to the Ondo State House of Assembly for legislative consideration and passage.