…As CEO calls for coordination, cooperation among players in NESI
The managing Director/Chief Executive Officer of the Nigerian Independent System Operator (NISO), Engr. Abdu Bello Mohammed, has charged respective state’s Electricity Regulatory Commission and Distribution Companies (DisCos) in various franchise areas to ensure that their actions does not disrupt Nigerian Electricity Supply Industry as a whole.
He gave the advice while declaring open the Stakeholder Engagement on Tariff Adjustment in Enugu State by Enugu State Electricity Regulatory Commission (EERC) on Wednesday in Abuja.
He recalled that the meeting was prompted by the recent Order issued by the Enugu State Electricity Regulatory Commission revising the electricity tariff within Enugu state, which though within the state-level regulatory authority under the Electricity Act 2023, had drawn attention nationwide.
He also cited the intention of the Enugu Electricity Distribution Company (EEDC) to curtail power supply to Enugu State by up to 50% in reaction to the tariff adjustment which said if allowed to come into effect, would serious operational implications.
According to NISO Chief Executive, “Such a measure, if implemented, could have serious operational implications, particularly at the TCN–DisCo interfaces where power transfer capacity Service Level Agreements (SLA) are managed.”
He stressed that achieving electricity market stability requires coordination and cooperation among stakeholders in the value chain, saying “We believe that fair electricity prices, sustainable business operations, and a stable electricity market are not mutually exclusive goals — they are interdependent. Achieving all the three requires dialogue, transparency, and coordination among all relevant institutions.
“In simple terms, NISO is responsible for both commercial balance in the market and also for ensuring technical stability and operational compliance — both of which may be affected by the current situation.
“Hence this intervention meeting is to ensure that no action disrupts the Nigerian Electricity Market stability, the integrity of contracts, or operational obligations that guarantee reliable supply to Nigerians”, he further stressed.
Engr. Bello Mohammed, explained that NISO role in convening the meeting is based on both Market Administration and System Operations mandates through the instrumentalities of the Electricity Act 2023, the Market Rules and the Grid Code.
The Code empowers the Market Operator to administer the wholesale electricity market, ensure compliance with market rules, and uphold contractual obligations; Mandates NISO to safeguard the financial integrity and orderly operation of the market; Requires NISO to convene consultations when any matter arises that could materially affect market operation or settlement; Assigns NISO responsibility for monitoring participants’ compliance with operational obligations, including dispatch instructions, system reliability, and service level agreements on power transfer capacity at TCN–DisCo interfaces.
He said the objective of the meeting I include to understand the facts, assumptions, and considerations behind this tariff adjustment; to examine its potential impact on the wider electricity market and on existing contractual frameworks; and to explore, together, how to harmonize state-level regulatory innovation with the commercial discipline and stability required in the wholesale electricity market.
NISO Managing Director further assured the stakeholders of NISO’s approach with neutrality, respect, and an open mind, adding that it is not forum to question the authority of the Regulator or the Operators.
Those present or represented at the meeting include Chairman of the Enugu State Electricity Regulatory Commission, Management of the Enugu Electricity Distribution Company (HoldCo and MainPower), Stakeholders from NERC, TCN and NBET.
News5 days ago
For Records5 days ago
News5 days ago