Bayelsa Gains Power Autonomy as NERC Transfers Electricity Market Oversight

The Nigerian Electricity Regulatory Commission (NERC) has officially handed over regulatory control of Bayelsa State’s electricity market to the Bayelsa Electricity Regulatory Agency (BYERA). This move, announced via NERC’s social media platforms on Monday, aligns with provisions in the amended 1999 Constitution and the Electricity Act 2023.

According to NERC, the transfer allows Bayelsa to independently manage its intrastate electricity affairs. The federal commission will, however, continue overseeing interstate and international aspects of electricity generation, transmission, and trading, as outlined in the Act. For states wishing to take charge of their local electricity markets, the Act requires a formal application and approval from NERC.

In line with this transition, NERC has directed the Port Harcourt Electricity Distribution Company (PHED) to establish a subsidiary company, PHED SubCo, dedicated to intrastate electricity supply and distribution in Bayelsa. This entity must be incorporated within 60 days from August 21, 2025, and obtain the necessary operating licence from BYERA.

The full transfer of electricity regulatory responsibilities to Bayelsa is expected to be completed by February 20, 2026. Bayelsa now joins other states such as Lagos, Oyo, Edo, Enugu, and Imo in managing their own electricity markets, including generation, distribution, and licensing of investors.