The Lagos State House of Assembly has assured residents of speedy passage of  Electricity Bill 2024, a bill which seeks to improve electricity supply in the state.

The chairman, House committee on energy and mineral resources, Sabur Oluwa, gave the assurance in an interview with journalists in Lagos on Sunday.

The Bill for a Law to Repeal the Lagos State Power Sector Reform Law 2018 is to provide for the creation and administration of the Lagos electricity market and related matters.

Former President Muhammadu Buhari, on March 17, 2023, signed into law a constitutional amendment that allowed states in the country to generate, transmit and distribute electricity in areas covered by the national grid.

Mr Oluwa said the committee was finalising work on the bill with inputs from stakeholders.

The lawmaker said the bill would then be read for the third time on the floor of the House, after which it would be passed.

The lawmaker also assured that the House would see to the implementation of the proposed law after assent by Gov. Babajide Sanwo-Olu.

According to him, the bill, when passed, will ensure that the state’s electricity market is fully owned and operated substantially by the private sector.

He said the electricity market in the proposed law was aimed at stimulating private sector investments in the state’s power sector, breaking the monopoly of electricity generation, transmission and distribution.

He said: “Firstly, this bill is designed to attract people who are interested in investing in electricity to come to our state.

“It is expected that there will be competitiveness in terms of electricity provision and that the people of Lagos can be assured of a steady power supply to their respective households.

“So, if there is competitiveness in the electricity market, it will drive down the price, and that is what we tend to achieve in this bill,” he said.

Mr Oluwa said there was provision for two per cent of revenue for host communities in the bill so that electricity generating companies and others could give back.

He said the bill also included a regulatory mechanism to ensure electricity companies do not endanger the lives of people in their host communities with their operations.

Mr Oluwa said the Lagos electricity market had six sets of players, which he listed as natural gas suppliers, generating companies, a transmission entity, an independent system operator, distribution entities and an electricity trading company.

The lawmaker said the bill would enable the state to fulfil its aspiration of a state with a steady power supply.

President Bola Tinubu, in February 2024, officially signed the Electricity Act (Amendment) Bill 2024, making it law.

Earlier in 2023, Mr Tinubu assented to the 2023 Electricity Act, which replaces the Electricity and Power Sector Reform Act of 2005.

The Act was meant to bring about the de-monopolisation of Nigeria’s electricity generation, transmission, and distribution of electricity at the national level and empower states, companies, and individuals to generate, transmit and distribute electricity.

The Electricity Act was passed in July 2022 under the Buhari administration.

Under the Act, states can issue licenses to private investors who can operate mini-grids and power plants within the state. However, the Act precludes interstate and transnational electricity distribution.

(NAN)