Monday, August 17, 2026

CARE demands reinstatement of NERC forums, says Ikeja Electric, KEPCO in financial distress

Months after regulatory powers were transferred to the states, complaint frameworks were established, according to CARE.

• October 2, 2025
Ikeja Electric, KEPCO
Ikeja Electric, KEPCO

As Nigeria celebrates its 65th independence anniversary, the Coalition for Affordable and Regular Electricity has urged the immediate reinstatement of Nigerian Electricity Regulatory Commission forums.

The coalition stated that the forums should remain in place until state regulatory bodies are fully operational and capable of providing effective consumer protection systems.

Speaking on Thursday in Lagos, CARE’s national coordinator, Chinedu Bosah, condemned the closure of NERC’s forums without adequate state-level replacements.

“The closure has left millions of electricity consumers stranded and vulnerable to exploitation,” Mr Bosah warned.

He explained that more than seven months after regulatory powers were transferred to states, bodies such as the Lagos State Electricity Regulatory Commission have not established functional complaint frameworks.

Mr Bosah stressed that the power sector needs massive public investment and democratic oversight, not further privatisation.

“The private sector is financially and technically too weak to develop the power sector,” he said. “Their profit motives cannot deliver affordable and reliable power. Continuing privatisation is suicidal. CARE demands an end to privatisation, renationalisation of critical assets, and inclusion of workers, experts, and consumers in sector management.”

Mr Bosah said only a public-interest programme could guarantee an affordable and regular power supply for Nigerians.

He decried Nigeria’s poor power performance after 65 years of independence, calling it a “shameful outcome” of mismanagement and underfunding.

“Nigeria generates only 5,500 megawatts for over 220 million people, despite an installed capacity of 14,000 MW,” Mr Bosah noted.

He observed that transmission and distribution systems remain in disrepair, with little prospect for improvement under current conditions. Privatisation, he said, had worsened the situation since 2013, when the sector was broken into 15 companies — 11 distribution and four generation firms.

“At least six companies are under financial distress, including Ikeja Electric and KEPCO,” Mr Bosah disclosed.

He noted that many firms purchased power assets with loans but failed to invest in infrastructure or repay their debts, instead relying on bailouts and tariff hikes.

“Instead of revitalising the sector, privatisation has trapped it in debt and inefficiency. The private model has failed,” he said.

According to CARE, over 6.5 million households remain unmetered, exposing them to arbitrary billing, while over 90 million Nigerians still lack access to the national grid.

“This is not just a policy failure, but an economic injustice. Electricity must be treated as a basic right, not a tool of exploitation,” he said.

He also criticised the close ties between NERC and private companies, claiming consumer protection has been deliberately weakened.

“The regulatory framework that once gave consumers a voice has been dismantled. Today, private operators are pampered at people’s expense,” he said.

Bosah said the constitutional amendment transferring regulation to states has worsened matters, citing Lagos State as an example.

“Lagos lacks an effective regulatory framework. LASERC is uncoordinated, and without NERC forums, DisCos exploit consumers with unfair tariffs and policies,” he said.

CARE therefore urged the Federal Government and NERC to restore consumer protection and dispute resolution mechanisms temporarily until states are ready for effective regulation.

“Without proper oversight and public investment, stable electricity for Nigerians will remain elusive,” Mr Bosah said.

(NAN)

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