Abia electricity agency issues interim licences to 3 firms as state moves to regulate power market

Abia

From Okey Sampson, Umuahia

The Abia State Electricity Regulatory Authority (ASERA) has issued Interim Distribution and Generation Licences to three power firms as the state transits into an independently regulated intrastate electricity market.

The licences were issued to New Era Electricity Distribution Limited (APL), Electric Company Limited (ECL)and Geometric Power Aba Limited (GPAL).

Speaking at the event, Chairman and Chief Executive Officer of ASERA, Mr. Emeka Onyegbule, said the handover was in exercise of powers conferred by Sections 16, 17, 44 and 64 of the Abia State Electricity Law, 2025.

Onyegbule revealed that the issuance of licences to the power firms followed the conclusion of the transition period on December 24, 2025, when ASERA formally assumed full regulatory oversight of intrastate electricity operations.

“The interim licences are intended to enable the operators commence regulated activities under ASERA’s framework, pending the issuance of full licences.”

Onyegbule informed that the state government is building a power sector that is structured, disciplined, and capable of delivering reliable service at every scale, adding that the reform process had moved beyond planning to implementation.

He urged the licencees to adhere strictly to the licence conditions and ensure transparency in operations, discipline in service delivery, and responsiveness to customers,  while he warned that regulatory consequences will be applied where operators fall short.

“The entities before us are not merely market participants, you are partners in delivering a critical public service and in shaping the credibility of this new market.

“We expect strict adherence to licence conditions, transparency in operations, discipline in service delivery, and responsiveness to customers. Where operators perform, they will be supported. Where they fall short, the regulatory consequences will be applied”, he stated.

Onyegbule explained that the interim licences are transitional and will last about six months, adding that final licences would follow the conclusion of public consultations on regulatory frameworks.

He also disclosed that the state government is in advanced negotiations to conclude a takeover transaction involving Umuahia Ring fenced area from the Enugu Electricity Distribution Company (EEDC), which he said could be finalised before the end of the second quarter.

Commissioner for Power and Public Utilities, Ikechukwu Monday, represented by the Special Adviser to the Governor on Energy, Kachy Etolue, described the development as “a significant milestone in the ongoing reform of the electricity sector in Abia State.”

The commissioner stated that “the issuance of Interim Distribution and Generation Licences reflects the state government’s firm commitment to translating policy into practical outcomes that will drive economic growth and improve the quality of life for AbIa citizens”.

ASERA’s Executive Director, Legal and Regulatory, Iguwo Ukwu, outlined strict compliance expectations for operators, stressing that adherence to regulatory frameworks is mandatory.

Managing Director and Chief Executive Officer of New Era Distribution Limited, Vincent Ekweku, described the licence issuance as the beginning of a more structured electricity market.

“From today, the regulation goes into full stream so that Abia State market can be better, which means, now, you can’t just do anything you want to do anymore because you are regulated,” he said.

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