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NERC Announces Net Billing Scheme


The Nigerian Electricity Regulatory Commission (NERC) has notified electricity consumers, distribution companies, renewable energy developers, commercial and industrial customers, as well as the general public, of the commencement of the Net Billing Regulations 2026.

According to a statement titled “Commencement of the Net Billing Regulation 2026,” it explained that the regulations establish a framework that enables eligible electricity customers (Prosumers) to generate electricity from renewable energy sources, primarily solar photovoltaic systems, for their own consumption and export surplus energy to the distribution network under a Net Billing Arrangement.

According to it, the objectives of the Net Billing Regulations 2026 are to promote the adoption of renewable energy technologies; enhance energy security and reliability for electricity consumers and encourage private sector participation in distributed generation.

It added that the objectives also include: to support the reduction of greenhouse gas emissions and facilitate the efficient integration of renewable energy systems into distribution networks.

It stated that customers seeking to participate in the Net Billing Scheme must be connected to a Distribution Licensee’s network and install renewable energy systems that comply with applicable technical standards and regulatory requirements.

It added that they must have a Renewable Energy System (RES) with a minimum installed capacity of 50 kilowatt peak(kWp) and a maximum of 1.5 Megawatt peak (MWp)

·Obtain approval from the relevant Distribution Licensee and execute a Net Billing Agreement and register with the Commission.



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