Why VP Kashim Shettima says states must build electricity regulators and intrastate markets under the Electricity Act 2023 — and why a 4,000MW grid can no longer wait for Abuja.
ABUJA, 21 October 2026 — The excuse has an expiry date, and Vice President Kashim Shettima says it has already passed.
Vice President Kashim Shettima on Wednesday told state governments to stop depending on Abuja for electricity and to stand up working regulators and markets under the Electricity Act 2023. Speaking at a National Stakeholders’ Workshop in Abuja, he warned the law “cannot implement itself,” as 17 states have now taken intrastate regulatory control.
Speaking at the opening of the National Stakeholders’ Workshop on the Electricity Act 2023 at the State House Banquet Hall, Presidential Villa, the Vice President urged states to end their dependence on the Federal Government for local power solutions and to build functioning electricity markets of their own. “Electricity supply must become a shared responsibility… Our states must shed the habit of waiting for Abuja to provide every answer,” he said in a speech delivered on his behalf by Ibrahim Hadejia, Deputy Chief of Staff to the President.
Why the states are now squarely in the frame
The Electricity Act 2023, signed by President Bola Tinubu in June 2023, replaced the Electric Power Sector Reform Act of 2005 and allowed states to license generation, transmission and distribution within their borders, with the national regulator retaining oversight of interstate matters. “The Act empowers states to develop and regulate intrastate electricity markets,” Shettima said, arguing that “the size, diversity and endowments of this nation demand this decentralisation.”
Why the numbers make the argument
Nigeria’s grid has hovered around 4,000 megawatts for years against roughly 14,000MW of installed capacity, while generation companies said in March they were owed about ₦6.8 trillion at the end of February. Lagos, Edo and Kaduna already had state electricity laws when the Act was signed. The Electricity Commission has since issued regulatory transfers to 17 states — the latest Akwa Ibom, whose transfer order to state regulator AKSERC is dated 18 August 2026, with transfers to be completed by 17 February 2027. Sixteen states were reported fully transitioned in July.
Why a law alone fixes nothing
Shettima warned that “legislation cannot implement itself,” pressing states without regulators to create bodies “with technical competence and capacity.” He proposed a voluntary National Electricity Reform Peer Review and Implementation Framework involving the Nigerian Electricity Regulatory Commission, the Federal Ministry of Power, the Nigeria Governors’ Forum and state regulators. “No state needs to purchase with failure the knowledge another state has already acquired.”
Why private capital decides the outcome
The treasury cannot fund the transformation alone, he said: “Private capital must arrive with technology and expertise,” and confidence will be earned through transparent licensing, predictable regulation, commercially viable markets, investment safeguards and credible dispute resolution. Dr Abdulateef Shittu, Director-General of the Nigeria Governors’ Forum, said work is underway on a standard tariff framework to protect consumers while attracting investment.
Why the consumer is the final judge
Shettima called for protection against arbitrary billing, poor service and unfair commercial practices: “The final verdict on this law will be delivered wherever a Nigerian reaches for a switch.”
Permanent Secretary of the Federal Ministry of Power Mahmuda Mamman, representing Power Minister Joseph Tegbe, said the Act’s success rests on states’ ability to build credible institutions and commercially viable markets.
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