THE ELECTRICITY ACT 2023: A GAME-CHANGER IN THE NIGERIA’S POWER SECTOR REFORM

Abstract

This paper analyses the Electricity Act, 2023, with a view to detailing its novel provisions aiming at effective, sufficient and efficient power sector reform in Nigeria. The Act is aimed at a total overhauling and developing of the Nigeria power sector in a sustainable way in order to make the country meet its energy requirements and demands. Nigeria requires steady electricity supply for it to realise its goals towards a sustainable economic development. The reality on the ground is that the sector is in a big mess, ranging from very short supply, incessant power failures resulting into power unreliability and inadequate electricity generation. The country, with over 200 Million people, has just around 6000 megawatts of electricity supply, a situation closely linked to varying factors including transmission and distribution losses, generation constraints and load demand. Approximately 40% of the citizens lack access to electricity from the national grid. This translates to roughly 92 million people and this has brought about stagnation, with the country’s economy seriously affected. To reverse this trend, the country has, at different times, gone through legislation and regulatory adventures, with the latest efforts being the Electricity Act, 2023.