It appears power generation companies are not pleased with the threat from the Federal Government, through the Nigerian Electricity Regulatory Commission, to disconnect the Gencos from the national grid if they fail to implement the Free Governor Control across their generating units.
Responding to the threat on Monday, the generation companies told the regulator to go ahead and disconnect their power plants from the grid immediately.
Baffled by the incessant collapse of the national grid, NERC issued an order mandating all electricity generation companies connected to the grid to implement Free Governor Control across their generating units, warning that non-compliance would attract heavy penalties, including disconnection from the grid.
The order, NERC/2025/094, which took effect on September 1, 2025, directed that any Genco that fails to comply with the integration and activation of FGC on all generating units by November 30, 2025, shall be liable to a penalty of a prorated 10 per cent of the invoice associated with the defaulting generating unit, and any generating unit that records 90 consecutive days of FGC non-compliance shall be disconnected from the grid.
“Any Genco that fails to comply with the provisions of sections 12.6.2 and 15.8.3 of the Grid Code on the integration and activation of FGC on all generating units by 30 November 2025 shall be liable to a penalty of a prorated 10 per cent of the invoice associated with the defaulting generating unit for the duration during which it was not operated with its FGC activated, that is, FGC non-compliant.
“Where a generating unit records 90 consecutive days of FGC non-compliance, the affected generating unit shall be disconnected from the grid. Reconnection shall only occur after NISO has certified the unit as fully compliant with the requirements of the Grid Code,” the order declared.
Reacting to this, in a chat with our correspondent, the Managing Director/Chief Executive Officer of the Association of Power Generation Companies, Joy Ogaji, dared the regulator to disconnect members of the group from the national power grid.
When told that the order had been published by NERC on its website, she said, “Then no comment. We wait for the implications. We wait for them to disconnect us. They should disconnect us today,” she stated on Monday.
Our correspondent reports that the order by NERC generated reactions among industry stakeholders and experts. Another member of the Association of Power Generation Companies, who did not want to be mentioned due to the lack of authorisation to speak on the matter, expressed worry that the sector had been using the Gencos to stabilise the grid, saying the Egbin power plant lost two units in its bid to stabilise the grid.
“The sector is using Gencos to stabilise the grid. Egbin has lost two units to this. Let them just disconnect us. Once we are disconnected, there will be no more debts. Gencos are suffocating already,” the operator said.
In power generation, a governor is a control system that regulates the speed or output of a turbine or generator. Its primary function is to maintain a stable speed or frequency.
Free Governor Control is a mode of operation in power generation where the governor of a turbine or generator is allowed to freely adjust the output in response to changes in grid frequency. This control mode enables the generator to contribute to grid stability by automatically increasing or decreasing output to match demand and maintain frequency within acceptable limits.
However, the Gencos said that while they were not against rules and regulations, they were concerned about selective compliance and enforcement.
“We are not bothered about rules. We are only concerned that there is selective compliance and enforcement. In every market, both parties must adhere. Has the transmission section adhered to the grid code of frequency? Check the commission website and tell me one regulation implemented since 2017, except against Gencos. Gencos are the most compliant. This threat of disconnection is actually what we want now,” an APGC official said on Monday.
The regulator had blamed the Gencos, saying the national grid experienced eight incidents of grid disturbances in 2024, which resulted in five full system failures and three partial system failures. “The incident reports filed by the Transmission Company of Nigeria Plc identified non-compliance with the provisions of the Grid Code by some generation companies as contributory factors. The performance review of the operations of grid-connected Gencos in 2024 revealed that there was significant failure on the activation of FGC,” the NERC noted.
The order, it was said, is to ensure the mandatory deployment and activation of FGC in all generating units to enhance the reliability of power generation and stability of grid operations and to ensure Gencos’ compliance with sections 12.6.2 and 15.8.3 of the Grid Code for the Nigerian Electricity Transmission System on FGC.
It is also to promote strict compliance with FGC requirements to minimise the risk of system disturbances and engender stable grid operations while establishing penalties for non-compliance. The commission ordered that all grid-connected GenCos shall install a fast-acting FGC in all generating units, and the FGC shall be operable at all times by 30 November 2025.
“Gencos shall at all times activate and operate the FGC in real-time without any time delays. Gencos are mandated to procure and supply a Grade Level 5 metering system with IoT-based monitoring capabilities for each generating unit and communicate readiness for installation to the NISO by October 31, 2025. The meters are required to have a minimum capability of measuring active power, reactive power, power factor, generator terminal voltage, and frequency.
“The Nigerian Independent System Operator shall install and integrate all IoT metering systems provided by the Gencos within 20 days of receiving notification of readiness for meter installation from each Genco. NISO shall actively monitor and enforce strict compliance with the operationalisation of FGC mode in generating units,” the NERC said.
