The Nigerian Electricity Regulatory Commission (NERC) has granted permits to various companies, including MTN Communications Nigeria Plc and Golden Penny Power Limited, to generate mini-grid electricity. This initiative is part of efforts to boost off-grid power solutions in the country.
According to NERC’s report for the first quarter of 2024, nine new off-grid generation licenses were issued with a combined capacity of 109.69 megawatts. In addition, three trading licenses were approved. Among the recipients, MTN received authorization to build four captive generation plants in Lagos State with a total capacity of 15.94 megawatts.
Golden Penny Power Limited also secured a license to establish six off-grid gas plants across Lagos, Oyo, Ogun, and Cross River states, adding 100 megawatts to the country’s off-grid power supply.
Other companies that obtained captive power generation permits include SweetCo Foods Limited, African Steel Mills Nigeria Limited, West African Ceramics Limited, Royal Engineered Stones Limited, and Armilo Plastics Limited. These entities are authorized to generate electricity solely for their own consumption rather than selling it to third parties. NERC reported that the captive power permits issued in the first quarter of 2024 have a combined nameplate capacity of 52.57 megawatts.
In line with the Electricity Act 2023, which empowers NERC to grant mini-grid licenses to renewable energy firms serving specific communities, the commission continues to support the growth of renewable energy solutions. During the first quarter, NERC issued three mini-grid permits and two registration certificates to developers focused on generating and distributing electricity with capacities ranging from 100 kilowatts to 1 megawatt.
The licensed mini-grid operators include Daybreak Power Solutions, TIS Renewable Energy Limited, Auro Nigeria Private Limited, Watts Exchange Limited, Centum Dopemu Energy Services Ltd, and DMD Electric Limited in Lagos State. The commission also noted its ongoing commitment to expanding renewable energy access through mini-grid development across Nigeria.
In addition to mini-grid approvals, NERC certified six Meter Service Providers in the first quarter of 2024. These include four meter installers—Genobet Limited, Mojec Meter Asset Management, Epagad International Services Limited, and Abdulrahman Ahmadu Zubairu—and two meter manufacturers, Smart Meters Company Limited and Crestflow Energy Limited.
The commission also issued 36 new regulations and orders during the quarter, covering various aspects of Nigeria’s electricity sector. These include updates to the Multi-Year Tariff Order (MYTO) for distribution and transmission companies and performance improvement plans for the Transmission Company of Nigeria (TCN).
NERC’s efforts in the first quarter of 2024 highlight its ongoing role in improving electricity regulation, promoting renewable energy, and ensuring the growth of Nigeria’s power sector.
