The state governors of the Federation, under the aegis of Nigerian Governor’s Forum (NGF) on Monday, declared that it would be unconstitutional for the Senate to consider and pass a new bill that continues to treat the Federation as one single electricity jurisdiction or sector.
The governors’ position was contained in a letter entitled ‘RE: THE SENATE ELECTRICITY BILL’, and addressed to the Chairman, Senate Committee on Power, National Assembly, by Kayode Fayemi, Governor, Ekiti State and, Chairman, Nigeria Governors’ Forum.
According to the NGF boss, in the letter, insisted that it would be unconstitutional and an unjustifiable act of overreach for the Senate to consider and pass a bill that continues to treat the Federation as one single electricity jurisdiction or sector.
“It would be unconstitutional and an unjustifiable act of overreach for the Senate to consider and pass a bill that continues to treat the Federation as one single electricity jurisdiction or sector. While a single Electric Power Sector Reform Act may have been useful as a catalyst for the sector in the early years of the Fourth Republic, the States have all come of age, literally and metaphorically, and the arrangements must change in a way that accepts and respects the maturity of the States in electricity matters. It is a reality that this Senate Electricity Bill does not recognize and take account of but at best only pays the most cursory lip service,” he said.
NGF noted that the Senate of the Federal Republic of Nigeria has before it a Bill for a law to repeal the Electric Power Sector Reform Act, 2005, consolidate various laws relating to the electricity sector, and for many other matters both connected and unconnected therewith.
According to NGF, the Bill has gone through a second reading and a public hearing thereon has been scheduled for the 28th of February and 1st March 2022, and the schedule of parties to be heard at these public hearings has been published by the Senate Committee on Power, but regrettably, the States have no opportunity to be heard, whether individual or through the Nigeria Governors’ Forum.
“We wish to point out that “electricity” is not an exclusive federal matter. It is guided by the provisions of the Concurrent Legislative List. Articles 13 and 14 clearly provide that the power to make laws for the generation and transmission of electricity are concurrent.
“Also, Article 14 reserves exclusively to the State the power to make laws for the distribution of electricity within a State as it also does the power to make laws for the generation and transmission of electricity exclusively within the borders of a State.
“We also wish to note that the National Electric Power Policy, 2001, the only extant Federal Government general policy statement on the electricity sector, in Chapter Three, is very clear that the States and State Governments are key stakeholders in the electricity value chain.
“We recall that past efforts of States to establish and sustain electricity markets of their own have been stifled by the Federal Government.
“The efforts of Lagos and Rivers States are notable examples. Historically, the extension of electricity services beyond State capitals in the first 12 States of Nigeria was driven by the State Governments through their State electrification or rural electrification boards.
“This has continued with the 36 States and it is now established by the Nigerian Electricity Regulatory Commission and accepted by the National Council on Privatisation that an average of 30% of the historical investment into the electricity distribution networks were made directly by the States. Most of this value is situated in the rural areas of the 36 States.
“We believe that the reality of the States as key partners in the achievement of universal electricity access by all Nigerians must not only be accepted by the Federal Government but must be legislated by the National Assembly. States like Lagos, Edo Ekiti, Ondo, and Kaduna have already taken the initiative to enact policy statements and laws for the electricity sectors in their States.
“Similarly, the 19 States of Northern Nigeria have come together to establish a common platform for realizing the benefits of the extensive renewable energy resources that their region is blessed with.
“It would be unconstitutional and an unjustifiable act of overreach for the Senate to consider and pass a bill that continues to treat the Federation as one single electricity jurisdiction or sector. While a single Electric Power Sector Reform Act may have been useful as a catalyst for the sector in the early years of the Fourth Republic, the States have all come of age, literally and metaphorically, and the arrangements must change in a way that accepts and respects the maturity of the States in electricity matters; a reality that this Senate Electricity Bill does not recognize and take account of but at best only pays the most cursory lip service.
“After 71 years of sole and unchallenged central control of the electricity sector, we live with an electricity sector divided into two parts, One part is the FG-controlled and -regulated national electricity market that today is insolvent, bankrupt and delivers no more than approximately 4,000MW/96,000MWh daily to 220m Nigerians, or an average of 18w/432watt-hours daily, barely enough to power two (2) 10-watt light bulbs a day. The other part of Nigeria’s electricity sector is the alternative/back-up market, whose estimated capacity is approximately 40,000MWso much so that Nigerian citizens are their own electricity providers in their homes, factories, schools, hospitals and places of worship” reads the letter in parts.
By Chidi Ugwu,
Independent