The Nigerian Electricity Regulatory Commission (NERC) has called for increased private-sector investment in Nigeria’s electricity industry, urging investors to take advantage of existing regulatory frameworks to develop sustainable power projects and improve electricity supply to businesses and households.
NERC Chairman, Dr. Musiliu Oseni, made the call during a panel discussion at the 32nd Nigerian Economic Summit held in Abuja on Tuesday, October 27, 2026.
Oseni, who was represented by the commission’s Director of Economic Regulation, Abba Terab, said the regulator had introduced several instruments aimed at making electricity projects commercially viable and attracting long-term private capital.
Speaking during the session themed “Powering Growth: Reliable Electricity for Industry and Prosperity,” Terab explained that investors could leverage existing regulations to structure bankable electricity transactions capable of strengthening supply across the country.
He noted that the Federal Government’s electricity sector reforms, supported by the Electricity Act 2023 and accompanying regulations, were intended to encourage greater private participation and expand opportunities within the Nigerian Electricity Supply Industry.
According to him, decentralised electricity supply arrangements, including embedded generation, provide an opportunity for investors to develop projects that serve specific locations and customer groups.
Embedded generation allows electricity to be produced and connected directly to distribution networks, potentially improving supply to designated industrial, commercial and residential areas.
Terab also linked the reforms to the Federal Government’s Vision 30:30:30 electricity development target, stressing the importance of private investment in achieving the country’s power sector ambitions.
Other participants at the summit highlighted the need to strengthen the commercial and operational foundations of the electricity market to ensure that new investments translate into reliable supply.
The Managing Director of Abuja Electricity Distribution Company (AEDC), Chijioke Okwuokenye, said progressive regulation was already encouraging investment in the sector.
He identified embedded generation and net billing arrangements as mechanisms capable of supporting renewable energy development and expanding electricity access.
Also speaking, the Managing Director of Elektron, Deen Solebo, highlighted efforts to improve gas-to-power infrastructure, particularly for medium-scale power projects serving defined geographic areas and customer clusters.
He explained that strengthening the connection between natural gas infrastructure and electricity generation would create opportunities for more efficient power supply arrangements.
The Director-General of the Manufacturers Association of Nigeria (MAN), Segun Ajayi-Kadir, stressed that an effective electricity market must provide dependable supply while ensuring that operators receive payment for energy delivered to customers.
He identified electricity reliability as a major factor influencing industrial productivity and the competitiveness of Nigerian manufacturers.
Manufacturing businesses across the country continue to rely heavily on alternative power sources to sustain operations amid challenges with electricity availability and supply stability.
The situation has increased the importance of developing electricity projects tailored to industrial demand, particularly in manufacturing clusters where predictable power supply is essential for production.
Participants maintained that attracting investment would require a combination of regulatory certainty, commercially viable projects, improved infrastructure and effective payment arrangements.
The discussions also highlighted the role of collaboration among electricity regulators, distribution companies, generation developers, gas suppliers and industrial consumers in addressing persistent constraints across the power sector.
The 32nd Nigerian Economic Summit, organised by the Nigerian Economic Summit Group (NESG), brought together policymakers, investors and business leaders to discuss reforms aimed at strengthening economic productivity and encouraging private-sector-led growth.
The electricity panel formed part of wider conversations on improving Nigeria’s investment environment and developing infrastructure capable of supporting industrial expansion.
