The Nigerian Electricity Regulatory Commission has formally transferred regulatory oversight of the electricity market in Gombe State to the Gombe State Electricity Regulatory Commission, in line with the amended Constitution and the Electricity Act 2023.
The transfer, which took effect following an order issued by the commission, removes Gombe from NERC’s direct regulatory control over intrastate electricity activities, marking another milestone in the decentralisation of Nigeria’s power sector.
In a public notice issued on Wednesday, NERC said the transfer followed Gombe State’s compliance with all conditions precedent under the law, including formal notification and a request for regulatory authority over its intrastate electricity market.
The commission explained that while it retains its role as the central regulator for interstate and international electricity generation, transmission, trading and system operations, states are now empowered to establish and regulate their internal electricity markets.
The notice read, “In compliance with the amended Constitution of the Federal Republic of Nigeria and the Electricity Act 2023 (Amended), the Nigerian Electricity Regulatory Commission has issued an order to transfer regulatory oversight of the electricity market in Gombe State from the commission to the Gombe State Electricity Regulatory Commission.
“Recall that with the EA 2023, the commission retains the role as a central regulator with regulatory oversight on the inter-state/international generation, transmission, supply, trading and system operations.
“The EA also mandates any state that intends to establish and regulate intrastate electricity markets to deliver a formal notification of its processes and requests NERC to transfer regulatory authority over electricity operations in the state to the State Regulator.”
It added that the Gombe State Government fulfilled these requirements, prompting the issuance of the transfer order in favour of GOSERC.
As part of the transition framework, NERC directed Jos Electricity Distribution Plc to incorporate a subsidiary company that will take over intrastate electricity supply and distribution responsibilities in Gombe State.
According to the order, the new entity, to be known as JED SubCo, must be incorporated within 60 days from January 7, 2026, after which it is required to apply for and obtain an intrastate electricity licence from the Gombe State Electricity Regulatory Commission.
The commission further directed that all transfers envisaged under the order must be fully completed on or before July 6, 2026.
It noted, “The transfer Order by NERC has the following provisions: Direct Jos Electricity Distribution Plc to incorporate a subsidiary (JED SubCo) to assume responsibilities for intrastate supply and distribution of electricity in Gombe State from JED.
“JED shall complete the incorporation of JED SubCo within 60 days from January 7, 2026. The subcompany shall apply for and obtain licence for the intrastate supply and distribution of electricity from GOSERC, among other directives. All transfers envisaged by this order shall be completed by July 6, 2026.”
Gombe’s entry into state-level electricity regulation adds to a growing list of subnational governments taking advantage of the constitutional amendment and the Electricity Act to assume control over power markets within their territories.
Since the passage of the Act, at least 12 states have either established electricity regulatory commissions or are at advanced stages of assuming intrastate regulatory oversight. These include Lagos, Edo, Enugu, Ondo, Ekiti, Oyo, Plateau, Imo and Cross River, among others.
The reform represents a major shift from Nigeria’s historically centralised electricity governance structure, allowing states to design tariffs, issue licences, attract private investment and regulate distribution and supply activities tailored to local conditions.
The move is expected to accelerate electricity access, improve service delivery and unlock subnational investments, particularly in renewable and embedded generation projects, provided state regulators maintain strong institutional capacity and regulatory independence.
However, concerns remain about coordination between federal and state regulators, regulatory fragmentation, and the financial health of distribution companies, many of which are now required to unbundle operations along state lines.
NERC said the full transfer order for Gombe State is available on its website.
