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From Isaac Anumihe, Abuja
Former Chairman of the Nigerian Electricity Regulatory Commission (NERC), Professor Sam Amadi, has dismissed the idea of states taking charge of electricity regulation and operations, describing it as unsustainable and politically driven.
Speaking at the 10th anniversary of the Association of Power Generation Companies (APGC) in Abuja on Monday, Amadi cautioned that state control of the power sector “will not last up to 10 years,” insisting that the move will eventually collapse under its own contradictions.
“The idea of transferring regulation of electricity to states will surely flop with time,” he warned. “The Nigerian electricity sector is tied to politics so much that if there’s a problem, it mainly fits into policymakers. They start looking for solutions, and the solution becomes worse than the problem. I think we should have some stability to allow things to work.”
Amadi blamed lawmakers for rushing to amend laws without considering the long-term implications. He said the sector needed to stabilise before any further constitutional or regulatory adjustments were made.
However, the Chairman of the Senate Committee on Power, Senator Enyinnaya Abaribe, defended the legislature, saying the Senate only works within its constitutional limits.
“Our job is to fine-tune the constitution and not to discard it completely,” Abaribe said. “Any law that conflicts with the federal law is void. However, it is precisely confronting these challenges that APGC has demonstrated its greatest value, providing a platform for collective problem-solving and unified advocacy that amplifies the voice of individual generation companies.”
Abaribe noted that the future of Nigeria’s energy transformation rests on innovation, investment, and inclusive stakeholder engagement. “The power generation sector remains fundamental to our national development aspirations, and the role of APGC in promoting best practices and advocating for enabling policies cannot be overstated,” he added.
Also speaking, Chief Executive Officer of APGC, Dr. Joy Ogaji, identified liquidity as the biggest challenge facing generation companies, warning that without sufficient funding, the sector cannot thrive.
“The sector still faces recurring challenges—endemic liquidity shortfalls, gas shortages, inadequate grid infrastructure, and regulatory uncertainty,” Ogaji lamented. “But these challenges are not reasons for despair; they are reasons for resolve. Progress requires strong political will, focused leadership, persistence, and unity.”
She said that if at least half of the required funds were provided, GenCos would operate seamlessly. “This anniversary is not just a celebration of where we are, but a call to action for where we must go—toward a power sector that is viable, bankable, sustainable, transparent, and truly market-driven,” she added.
