In what is fast becoming an eyesore in Abuja, the nation’s seat of power, sub-standard schools built primarily for money-making now dot the landscape of most satellite towns in the FCT. With the education inspectorate doing little or nothing to address the menace, stakeholders fear that the practice may harm a system already struggling with the scourge of multi-layered neglect. DIRISU YAKUBU reports!
education is seen largely as both a service and a right. It is the responsibility of the government across all tiers to dispense education to the citizenry, whose right it is to embrace. Difficult as it is to enumerate its mileage in a single report, it suffices to suggest that the biggest weapon in the armoury of Nigeria’s foremost nationalists and Africa’s freedom fighters was the education they had, which enabled them to dare the colonial imperialists, forcing the latter to relinquish power reluctantly.
So big is the harvest of a good quality education that the Sage, Chief Obafemi Awolowo, the then Premier of the Western Region, made education compulsory and free for children, many of whose parents could not afford fees and other payments required to keep their wards within the four walls of an educational institution.
The near collapse of governance at all levels in subsequent years culminated in the fall of education standards, forcing well-to-do parents to withdraw their children and wards from public schools for enrollment in private institutions.
With improved earnings over the years, many parents took the private schools’ option, given their ability to pay more remuneration to teachers while exposing pupils and students to better-teaching models and other extra-curricular activities.
The patronage of private schools, needless to state here, has seen education morph from a service to business ventures. Across major cities in Nigeria, including Abuja, the seat of power, those who have no expertise in school administration have, with a combination of greed and crass opportunism, set up schools, targeting the children of low-income earners, to earn a living.
In most of the satellite towns in the FCT, schools lack basic infrastructure, and qualified manpower and recreational facilities are a common sight today. With government officials either playing the ostrich or abdicating their duties, enforcement of standards has thus been relegated to the background.
In a tour of some ‘schools’ in Abuja, The PUNCH uncovered a litany of rot, ranging from the engagement of semi-literate teachers to the absence of libraries, laboratories, sports facilities, to name just a few.
Findings revealed that the school proprietors, while charging relatively high fees, pay their teachers peanuts, citing the harsh economic realities of the times.
At Leaders Academy Drive, off Tiga Street, Kurudu, Abuja Municipal Area Council, is a three-bedroom apartment housing a family of four. It is a middle-class residential building, plastered but not painted. On this fateful Tuesday morning, a sharp voice emanating from a store in this building got the attention of this correspondent.
To his surprise, a young lady reading out Nigerian States and their capitals announced to a class of four children an impending examination to test their mastery of what she had taught them thus far.
Surprised that a school was being run in such a location, this reporter took a few steps in the direction of the young teacher, and this conversation ensued.
“Good morning, madam. How are you doing today? You run a school here?,” I asked her.
Good morning, sir. Yes, we are just starting,” she replied. “Our target is the young children who are old enough to be in school now, but due to one reason or another, are not. Things are tough for many families, and we are trying to make sure that we have in place a system that can be of assistance to these young children and their parents.”
Then I went further by asking to know if it was a conventional school she set out to run.
“Interesting! I will be right to say this is not a formal school but an arrangement to get these young minds engaged, preparatory to having them enrolled in a conventional school.”
She replied, “It is a conventional setting, sir. From here, their parents can take them straight to basic four or five and after a year or two, they will proceed to junior secondary school. I have ten pupils here of different ages. They did not start at the same time, and I don’t teach them the same thing.”
When I asked which curriculum they used in teaching the kids, she added, “I teach them the things I believe they should know. I teach them English, Mathematics, Civics Education, Christian Religious Studies and Basic Science. We are not using any curriculum for now.”
On the affordability of her arrangement, she replied, “We have an agreement with the parents. I am also a bit careful because there are basic requirements for setting up a school. The parents love what I do here, and they support me. I don’t want to speak in detail about fees or whatever you call it.”
She refused to state whether she was a trained teacher or not, when this correspondent asked to know. Instead, she stated her love for teaching endeared her to the project.
“I will go back to school. It is my love for teaching that inspired me to start this. I will go back to school soon. Like I said, these children are very young. I am just trying to teach them basic things they should know at this stage of their lives,” she added.The story of this unnamed “school” resonates across many communities in the Federal Capital Territory. Taking advantage of a system with a near-zero disposition to the enforcement of basic standards, individuals with little or no training in education set up ‘schools’ that can best be described as business centres.
Still in the Kurudu District, the story is slightly better at the Lifespring Academy, which runs nursery/primary and secondary schools.
At Lifespring, the school lacks a modest space required for the sporting needs of the students. As it were, students here make use of public fields at the Local Education Authority Primary School for their interhouse sports and other outdoor activities.
A man who simply identified himself as Mr Joshua told our correspondent that though Lifespring is an upgrade on other schools in the vicinity, it suffers from a lack of adequately trained manpower needed for imparting knowledge.
He said, “Everything is turning to business, and we should be worried. Here (Lifespring), one is surprised to see that they have an SSCE and NECO accreditation centre. That is their biggest bargaining chip. They will tell you that their accreditation status indicates the high rating they enjoy in the books of the Federal Capital Territory Administration authorities.
“We must not manage two things: education and health. If health and education facilities are substandard, let us not expect much to reap thereafter. What is happening is that business is winning, but services are neither here nor there.”
Lifespring Academy, Kurudu, Federal Capital Territory
A trip to the Ivy Academy, Kpeyegi, revealed a similar pattern of poor standards and lack of trained manpower. A pre-nursery, nursery, and primary school, Ivy Academy boasts a handful of skilled teachers and several school certificate holders.
At the Graceland International Academy, Orozo, a magnificent edifice, paints a phoney picture of efficiency on how things ought to be done.
The PUNCH’s findings, however, revealed a litany of shady deals, including the poor payment of teachers, some of whom have complained to no avail.
“While the management of the institution frequently announces an increment in the fees paid by the students, the same does not reflect in the remuneration of teachers who do the bulk of the work,” a young woman who declined to be named told our correspondent.
According to her, “These people see themselves as destiny helpers and in a way, they are right. They make you feel that you are indebted to them for life for allowing you to earn a living. So, you have no power to influence things and a staff member, you also have to be careful because colleagues who are into eye service can betray you,” she added, without providing further explanation.
Perhaps, the worst of these private schools is the Potter’s Legacy Ville Academy, Anka. Located along the Karu/Orozo/Karshi expressway, one can be carried away with the allure of its beautiful name.
Exposed to multiple dangers, including security threats and noise pollution, the unfenced school is certainly where everything happens except conducive learning. Without a gate, the school, as well as its pupils and teachers, are exposed to the threat of abduction, invasion, and all forms of criminal activities.
Needless to state here, the school is an employer of poorly-trained teachers, who are only too glad to be earning a living with the little knowledge they can dispense.
At the City Royal Junior and Secondary Schools, Nyanya, Abuja, the major challenge identified by our correspondent is the lack of a playing field for extra-curricular activities for both teachers and students.
“Without striking a balance between education and sports, “a Mathematics teacher, Mr Haruna Kebe, argued that the needed psychological equilibrium needed to excel may prove a huge challenge for students.
While noting that education has gone beyond the rendering of essential services, Kebe frowned at the influx of businessmen into the sector, who merely built schools for the sole purpose of financial gain.
He said, “People are setting up schools as business ventures. Many of them are not educationists, but they are in the business of running schools everywhere. In some cases, residential buildings are converted to schools. They are tapping into a gap in the system to make the argument that they are also creating jobs. These people don’t care about standards. This is a grave concern we must address as a nation,” he said.
Haruna
He further lamented the absence of a sports field for the physical development of children in the areas of football and track events, saying, “Most of them don’t have the environment for sporting activities, and this is one of the requirements for setting up a school.”
The Maths teacher, who has taught the subject in different schools, further revealed how the lack of standards makes it easier for school proprietors to enslave teachers, taking advantage of the scarcity of jobs in the country.
“Most of the teachers are overworked. In the last school I taught (name withheld), I was teaching Mathematics from JSS 1-3, taking SS1 students in Physics and handling Basic Science for JSS1-3 Basic Technology. You can see that they don’t care about the staff’s mental health. They are only interested in what comes into their pockets,” he added.
He also faulted religious bodies for setting up schools that they cannot manage.
“The churches are establishing schools because through these schools, they make money to run the churches. I have no issue with well-run schools owned by churches. But a situation where a church struggling to find its feet also sets up a school simultaneously leaves much to be desired,” he added.
Qualification
“How many teachers are qualified? There are very few. But I don’t think a Bachelor’s degree in Education is the main thing, because some of these so-called qualified teachers are not better than those who do not have degrees in education. I have a B.Sc in Mathematics and a National Diploma in Chemical Engineering, but I have a passion for teaching. I see it as my calling. I have been in teaching, off and on, since 2007, but I don’t think a B.Ed holder in Mathematics will look me in the eyes and tell me he is a better teacher than I am. I will not accept it,” he added.
“What they pay the teachers is nothing to write home about. The money is very small compared to their workload. Before now, school owners in Abuja were paying N15,000 for NCE holders, N20,000 for B.Sc. This was before inflationary pressure forced them to have a rethink. Some of the schools now pay holders of B.Sc N30,000 a month, especially those who are not in the sciences.
“In the last school I taught, the owner paid N30,000, and she deducted N2,000 each from those monthly salaries until it accumulated to N30,000. This amount was kept for each other, and anytime they wanted to leave, they were required to give a month’s notice. It’s this N30,000 that would be given to him or her in full anytime they choose to walk away. But if a teacher chooses to leave without a month’s notice, the N2,000 deductions would be forfeited.
“But as a Science teacher, I earned twice what my counterparts in the Arts were earning. The money is not encouraging. But the standard schools pay as much as N70,000 to N80,000 a month,” he explained.
Unskilled teachers
Accoroding to the Mathematics teacher, “Most of the school owners prefer school certificate holders as teachers because they are comfortable with the little token they pay them. The graduates demand higher salaries. In most of the schools, the school certificate and NCE holders are more in number compared to graduates because it costs less to retain their services.
“In the last place I taught, the proprietor retained me because she was bent on having an SSCE/NECO centre accredited for her. One of the requirements for having this centre approved for you is that your teachers must be well-educated. You must have at least five or six B. Ed or BSc holders before a NECO centre will be approved for a school. When the officials came to inspect the place, we were the qualified teachers who stood in defence of the school. The NCE and SSCE holders stayed away.”
A teacher in one of the privately-owned schools in Jikwoyi, identified simply as Chidi, called on the FCTA education inspectorate department to take its job seriously, noting that some of the schools operating in the nation’s capital today have no business existing in the first instance.
He said, “Ultimately, it is the future of the young ones we are jeopardising by sharp practices happening in these so-called schools. I know a man who turned the three-bedroom flat built for him by his son in Lagos into a private school. He goes around telling gullible parents that God instructed him to start a school.
FCT Minister, Nyesom Wike
“Being an evangelist, it is understandable that people are listening to him. What shocked me more was that with time, some parents withdrew their children from their schools and enrolled them at the there-bedroom apartment turned school.”
Asked how the evangelist cum educationist is paying the teachers, he was temporarily lost for words before continuing, “That is the interesting part of the story. He brainwashed some young people in his church into believing that the school is God’s project. When he collects fees from the pupils, he pays the teachers. At times, he pays when his son sends him money. This is how the place is run.”
Speaking exclusively with The PUNCH, school proprietor, Mustapha Haruna, urged those with genuine interest in running schools to abide by due process and avoid cutting corners.
Haruna, who runs the Discovery International Academy, Suleja, Niger State, described education as the finest gift a nation can bequeath to the younger generation, stressing that anyone desirous of owning a school to build the lives of young minds must be prepared to go the whole distance.
Lamenting the influx of Nigerians into the system who have no training in school administration, Mr Haruna warned that if left unchecked, such a system may end up doing more harm than good.
In an interview with our correspondent, The Imiegba, Edo-born school proprietor said, “One needs to be passionate about education. It is not about making money. If you are making money and not impacting the lives of the pupils and students, you have not started, and you have no reason to remain in the system.”
For a country desirous of joining the league of advanced nations, education is a sector too significant to be left in the hands of unskilled men whose interest lies not in quality service delivery but in profit-making. From basic to secondary school education, the government, including federal, sub-national, and local, must take decisive steps to address the looming danger threatening the progress of the Nigerian state.
The Abia State Government has commenced the enforcement of its new centralised transport system in Umuahia, with the phased relocation of transport operators to the Nnenna Otti Bus Terminal, Umuahia.
The Commissioner for Information, Okey Kanu, made this known at Government House, Umuahia, on Tuesday while briefing newsmen on the outcome of this week’s State Executive Council (EXCO) meeting presided over by Governor Alex Otti.
The commissioner disclosed that, in order to ensure compliance by transport operators, the state government took time to hold a series of meetings with transport stakeholders, during which their concerns were addressed.
Kanu added that, following the steps taken by the government, full operations had commenced at the terminal, with informal transport operators and unions already moved to the facility, despite the normal resistance that accompanies change.
“There appears to be some push backs among some of the operators and this is as a result of the fact that people are not easily giving in to change.
“What is happening is that all the parks in the state have been moved to the bus terminal.
“The Honourable Commissioner for Transport and his team have been holding a series of meetings with all the operators. They had one yesterday. And a few of their anxieties will be addressed very soon. Enforcement also will commence today to bring all the operators into the terminal.
“The first phase of operations involves the operations of the Abia Green Shuttle buses. The second phase involves informal transport operators, while the third phase will involve the formal transport operators,” Kanu stated.
Answering questions from newsmen, the Commissioner for Transport, Dr Chimezie Ukaegbu, said the state government had not taken away anybody’s means of livelihood but had instead introduced a more organised system to sanitise the transport sector and improve it.
He revealed that transport unions and operators were told to bring four of their workers each to the terminal, where they would be properly identified with reflective tags and carried along.
He further noted that the terminal operates a transparent system that allocates loading opportunities on a first-come, first-served basis irrespective of union affiliations, insisting that about 80 to 90 per cent of operators had embraced the initiative. He added that continuous engagements were being held with those yet to fully comply with the government’s transport policy.
He equally noted that the government provided a drivers’ lodge, fully air-conditioned and furnished with seats, while passengers sit in a conducive air-conditioned environment, adding, “what else will you need as a transporter or even as a passenger? I think everything good about transportation is embedded in that Nnenna Otti Bus Terminal,” Ukaegbu stated.
Contributing, the Special Adviser to the Governor on Media and Publicity, Mr Ferdinand Ekeoma, said that the centralisation of transport operations would reduce urban congestion, indiscriminate loading bays, expenses incurred by transport operators on their loading bays, and security challenges associated with the influx of unregulated transport operators, thereby enabling transport operators to make more gains.
He added that, over the years, “we have seen transport operators extort people, by coming up with this organised system, we are solving our problems,” Ekeoma stated.
A Federal High Court in Lagos has ordered Virgin Atlantic Airways Limited to pay Mrs. Joy Ezetah the sum of $5,906.50 in damages after it failed to allow her board a scheduled Lagos-London flight, an incident that disrupted her onward trip to Canada and caused her financial loss.
Justice Ibrahim Kala in the judgement delivered on Monday, held that the airline was liable for the losses suffered by the claimant after she was denied boarding at the Murtala Muhammed International Airport on 6 April 2024.
The claimant had asked the court for N100m in general damages, arguing that she bought a business-class ticket through Air Canada for a four-leg trip from Lagos to Toronto and back, but was stopped from boarding the Virgin Atlantic flight “without justification.”
She told the court that she arrived early, completed check-in, and was issued a boarding pass for the Lagos-London leg.
According to her, airline officials later prevented her from boarding, stating they could not connect her ticket to her Air Canada connecting flight from London to Toronto.
Ezetah stated that the airline owed her a duty of care and should have resolved the issue with Air Canada or made other arrangements instead of denying her boarding.
She further maintained that when she later contacted Air Canada, the airline confirmed that her ticket was valid and that she was expected on the connecting flight.
Virgin Atlantic, however, denied liability. It said it was “not the issuing carrier” and insisted that the ticket had been purchased directly from Air Canada under a codeshare arrangement.
The airline also argued that an error code in the reservation system prevented it from issuing a boarding pass for the connecting flight and that it acted professionally by advising the passenger to contact the ticket issuer.
It further contended that the claimant’s inability to complete online check-in before arriving at the airport showed that there was already a problem with the ticket.
After reviewing the evidence, submissions and legal authorities cited by both sides, Justice Kala held that the claimant’s case had merit.
The court awarded $5,906.50 in damages against Virgin Atlantic and ordered that the sum be paid using the prevailing exchange rate published by the Central Bank of Nigeria. Based on the highest official rate of N1,365.50 to a dollar, the award translates to about N8.07m.
Justice Kala also ordered the airline to pay 10 per cent interest per annum on the judgment sum until full liquidation of the debt.
Additionally, the court awarded N5m as costs against Virgin Atlantic, noting that the claimant had been forced to approach the court to enforce her rights.
A fresh battle over the control of Nigeria’s electricity sector is brewing, as state electricity regulators have accused the National Assembly of attempting to claw back powers already devolved to states under the Constitution and the Electricity Act 2023.
In a strongly worded memorandum submitted to the Senate Committee on Power and obtained by our correspondent on Tuesday, electricity regulatory commissions and bureaus from 16 states warned that the proposed Electricity Act (Amendment) Bill 2026 could reverse one of the most significant reforms in Nigeria’s power sector.
The regulators argued that the amendment bill, rather than strengthening the electricity market, seeks to restore extensive federal oversight over matters they insist have constitutionally become the responsibility of states.
The concerns were contained in a letter dated May 26, 2026, addressed to the Chairman of the Senate Committee on Power and signed on behalf of the State Electricity Regulatory Commissions and Bureaus.
Signatories to the document included the chairmen and chief executives of electricity regulators in Abia, Anambra, Bayelsa, Edo, Ekiti, Enugu, Gombe, Imo, Kogi, Lagos, Nasarawa, Niger, Ogun, Ondo, Oyo and Plateau states.
The regulators said they had taken advantage of the Electricity Act 2023 to begin building sub-national electricity markets and had already engaged investors based on the framework created by the law.
They noted that they had earlier met with the Senate committee and were subsequently requested to consolidate their concerns into a single memorandum for the consideration of lawmakers, the Nigerian Electricity Regulatory Commission and other stakeholders.
The letter stated, “We represent State Regulatory Commissions/Bureaus that have taken advantage of the Electricity Act 2023 to commence the development of our sub-national electricity markets and sectors.
We are grateful for the audience you granted us to raise concerns on the ongoing consideration of the proposed Amendment Bill 2026 to the Electricity Act 2023.
“As agreed during our discussion, we have collated and consolidated the comments into one document which is hereby attached for the consideration of the Senate and House Committees on Power, NERC and other stakeholders.”
The state electricity regulators said they had identified 17 contentious provisions in the proposed amendments to the Electricity Act that they believed could undermine the constitutional powers already granted to states in the electricity sector.
According to the regulators, the areas of disagreement include the authorisation of State Houses of Assembly to legislate on electricity matters, the supremacy of state laws within state electricity markets, and provisions seeking to retain federal control over all activities connected to the national grid.
Other disputed clauses relate to restrictions on states’ participation in the wholesale electricity market, matters concerning the Nigerian Wholesale Electricity Market, the authority of states over independent transmission and distribution networks, and the establishment and administration of the Power Consumers Assistance Fund.
The regulators also raised concerns over the proposed expansion of the powers of the Nigerian Electricity Management Services Agency, the structure and decisions of the Forum of Electricity Regulators, and the provision granting the Nigerian Electricity Regulatory Commission final administrative appellate jurisdiction on certain issues arising within the forum.
They further opposed provisions designating electricity generation, transmission, distribution and supply as essential services, as well as clauses dealing with government-owned enterprises as licensees and obligations to host communities.
Additional areas of contention include the regulation of intra-state electricity matters that may have implications for the national grid, the imposition of timelines and phased conditions for states transitioning into independent electricity markets, and proposed federal oversight on consumer protection, anti-trust measures and tariff design within state electricity jurisdictions.
The regulators argued that the disputed provisions require further consultation to ensure that the decentralisation objectives of the Electricity Act are not weakened by subsequent amendments.
“A review of the Bill suggests that the general intention is to reverse the devolution of legislative, governance and regulatory powers over electricity matters that occur solely within the respective states to the state governments, in favour of a reconsolidation of powers at the federal level, with the Nigerian Electricity Regulatory Commission retaining full supervisory powers over the market. Effectively, it appears that the intention of the Bill is that Nigeria should continue with the same regime that, for 20 years, has not led to any significant increase in power availability or per capita consumption for Nigerians, despite ever-increasing (and unsustainable) federal debt.”
At the centre of the dispute is the interpretation of the constitutional amendments that allowed states to legislate on electricity matters within their territories. The regulators argued that the proposed amendment bill wrongly assumes that state legislatures derive their powers from the National Assembly rather than directly from the Constitution.
According to them, any attempt by the National Assembly to grant, restrict or redefine those powers through ordinary legislation would amount to a constitutional violation.
The memorandum stated, “Section 2 of the Bill aims to amend Section 2(2)(a)-(e) of the Principal Act. By that section, the National Assembly reserves to itself the power to delegate legislative powers to States’ Houses of Assembly, suggesting that the Bill (or the Principal Act) is the source of the powers of a state to make laws on its electricity markets.
“This provision is based on a shocking miscomprehension of Nigerian constitutional law—it proceeds from the wrong assumption that the NASS, by ordinary legislation and not constitutional amendment, can confer (or restrict) the legislative power of states.
“The constitutional division of powers is fundamental to federalism, ensuring a balance between national unity and state autonomy. There is no legal framework for the NASS to ‘empower’ state governments to make law by ordinary legislation, as the language of the Bill attempts to do.
“The constitutional division of powers is fundamental to federalism, ensuring a balance between national unity and state autonomy. There is no legal framework for the NASS to ‘empower’ state governments to make law by ordinary legislation, as the language of the Bill attempts to do. Consequently, Section 2 of the Bill, seeking to amend Section 2 of the Act, is not consistent with the Constitution.”
The regulators described as “a shocking miscomprehension of Nigerian constitutional law” the provisions of the bill that appear to suggest that the National Assembly is the source of states’ authority over electricity matters.
They warned that the proposed law could undermine the principle of federalism by weakening state autonomy. Beyond constitutional concerns, the regulators said the bill could create uncertainty in the electricity market and discourage investors who had already committed resources based on the existing legal framework.
“The clear intention behind the new drafting is to reconsolidate in the Federal Government matters solely within the state electricity markets which had been devolved to the states,” the memorandum stated.
“This will defeat the key objectives of the Electricity Act and the various states’ electricity laws, even before the regime introduced by them has taken any root. It will introduce avoidable disruption in the industry as significant investment decisions have already been taken based on the Electricity Act 2023, and these investments are now put at risk by this proposed amendment.”
The state regulators specifically faulted provisions relating to federal oversight of activities connected to the national grid, restrictions on state authority over wholesale electricity transactions, the proposed expansion of NERC’s powers and changes affecting mini-grids and independent distribution systems.
They argued that allowing NERC to retain overriding authority over electricity activities merely because they have some connection to the national grid would effectively render state powers meaningless.
The memorandum stated, “What is required, in order to attain the full benefits of the decentralisation of the Nigerian Electricity Supply Industry that is the theme of the Fifth Alteration and provided for in the Principal Act, is proper coordination on transmission matters between NERC and state regulators, and not top-down federal legislation.”
The regulators also rejected provisions that would permit NERC to exercise final administrative appellate jurisdiction over disputes involving state electricity regulators. According to them, NERC and the SERCs are on equal standing within their respective constitutional spheres of authority.
“NERC and the SERCs are on equal standing within their respective constitutional spheres of authority,” the memorandum said. “The National Assembly cannot arrogate to NERC quasi-judicial authority over SERCs, especially where the dispute might be on a matter over which NERC has no authority.”
They further argued that the Constitution already vests judicial powers in the courts and that such responsibilities cannot be transferred to a regulatory agency. The proposed establishment of a Forum of Electricity Regulators also drew criticism.
Although the regulators acknowledged the importance of coordination among electricity regulators, they argued that participation in such arrangements should be voluntary rather than imposed through federal legislation.
“The better approach would be a Memorandum of Understanding or similar instrument jointly negotiated by all relevant regulatory bodies in which the principles of coordination and harmonisation will be agreed,” they said.
The state regulators equally opposed provisions declaring generation, transmission, distribution and supply of electricity as essential services covering both federal and state electricity markets.
According to them, such provisions could inadvertently expand NERC’s jurisdiction into areas already devolved to states, including tariff regulation. “The provision is invidious, regressive and should be expunged,” the memorandum stated.
The regulators also faulted proposals empowering NERC to determine contributions to the Power Consumers Assistance Fund from electricity consumers. They argued that since electricity tariffs and retail supply have become matters for state regulation, decisions relating to subsidies and customer contributions should similarly reside with state authorities.
Other contentious areas identified by the regulators included host community obligations, the role of the Nigerian Electricity Management Services Agency, licensing arrangements involving government-owned electricity enterprises and timelines for states transitioning into independent electricity markets.
The dispute highlights the growing tension between the Federal Government and states over the future structure of Nigeria’s electricity industry. The Electricity Act 2023 was enacted following the Fifth Alteration to the 1999 Constitution, which removed electricity from the Exclusive Legislative List and empowered states to generate, transmit and distribute electricity within their territories.
Since then, several states have enacted electricity laws and established regulatory agencies to oversee emerging sub-national electricity markets. Lagos, Enugu, Ekiti, Ondo, Edo and other states have already commenced varying stages of implementation of their electricity reform programmes.
Energy experts have repeatedly described the decentralisation of the sector as a major opportunity to attract investment, improve efficiency and expand access to electricity. However, the latest amendment proposals appear to have reopened the debate over how regulatory powers should be shared between Abuja and the states.
As the National Assembly continues deliberations on the amendment bill, the position adopted by lawmakers could shape the future direction of Nigeria’s electricity reforms and determine whether the country deepens its experiment with decentralisation or returns to a more centralised regulatory model.
The Electricity Act 2023 was designed to operationalise the constitutional amendments that empowered states to participate directly in electricity generation, transmission and distribution within their boundaries. Since its enactment, several states have passed their own electricity laws and established regulatory commissions.
The proposed Electricity Act (Amendment) Bill 2026 seeks to amend several provisions of the principal legislation. However, state regulators contend that some of the proposed changes amount to an attempt to reverse the gains of decentralisation and restore broad federal control over the Nigerian Electricity Supply Industry.
