Order on the Commencement of Operations of the Commission and the Mandatory Registration of Licensees and Electricity Operators in Ogun State, 2026

WHEREAS:

1. The Constitution of the Federal Republic of Nigeria, 1999 (as amended by the Constitution of the Federal Republic of Nigeria (Fifth Alteration) (No. 34) Act, 2023), empowers the House of Assembly of a State to make laws for the generation, transmission and distribution of electricity within that State;

2. The Electricity Act, 2023 recognizes the power of a State to establish and regulate an electricity market within its territory, and provides for the transfer of regulatory oversight of that market from the Nigerian Electricity Regulatory Commission ("NERC") to the State regulator;

3. The Ogun State House of Assembly enacted the Ogun State Power Sector Law, 2024 ("the Law"), which establishes the Ogun State Electricity Regulatory Commission ("the Commission") and, under section 53 of the Law, empowers it to license, regulate and monitor the generation, distribution, supply and trading of electricity within Ogun State;

4. By NERC Order No. NERC/REG/SG/OGSERC/8610/FE/173 dated 20 May, 2025, NERC transferred regulatory oversight of the Ogun State electricity market to the Commission with effect from 23 June 2025, including oversight of licences, permits and registrations previously issued by NERC, to the extent that they relate to activities carried out in Ogun State;

5. Sections 53 and 89(3) of the Law empower the Commission to make orders, regulations and directives to carry out its functions, including the collection of information from licensees and operators;

6. The Commission must give public notice that it has commenced operations, and must establish a complete and accurate register of every person who generates, distributes, supplies or trades electricity in Ogun State; and NOW THEREFORE, the Commission, in exercise of the powers conferred on it by sections 53 and 89(3) of the Law and all other powers enabling it in that behalf, hereby makes the following Order.

PART I — PRELIMINARY

1. Citation

This Order may be cited as the OGSERC Order on Commencement of Operations and Registration of Licensees and Electricity Operators, 2026.

2. Commencement

This Order takes effect on 2 November, 2026 ("the Effective Date"), being a date not earlier than the date of its publication in the Ogun State Gazette.

3. Application

(1) This Order applies to every person who, within Ogun State, carries out or proposes to carry out any of the following activities:

(a) generation of electricity for sale, whether on-grid, off-grid or embedded, and captive generation where the aggregate installed capacity at the site is one (1) megawatt or more;

(b) distribution of electricity by a successor distribution company or any other distribution licensee, including the operation of any distribution network, line or substation;

(c) supply or retail of electricity to end-use customers;

(d) trading of electricity, including bulk purchase, aggregation and resale;

(e) operation of a mini-grid, interconnected mini-grid or independent electricity distribution network;

(f) operation of a private or internal distribution network that supplies electricity to third parties within a residential estate, industrial park, industrial estate, free zone, market or similar development;

(g) operation under a franchise, sub-franchise or other arrangement with a distribution licensee, under which the operator distributes or supplies electricity to customers; or (h) metering services, or any other activity for which a licence or permit is required under the Law.

(2) This Order applies whether the person holds:

(a) a licence or permit issued by the Commission;

(b) a licence or permit issued by NERC before the date of transfer, to the extent that it covers activities in Ogun State, including a licence held by a multi-State licensee;

(c) a registration or permit issued under NERC's mini-grid or captive-generation regulations; or (d) no licence, permit or registration at all.

(3) This Order does not apply to:

(a) the transmission of electricity, or the system operation of the national grid, by a person licensed by NERC for that purpose;

(b) the generation of electricity by a generation station licensed by NERC, to the extent that it sells electricity into the national grid or to persons outside Ogun State, except where the station also supplies electricity within the Ogun State electricity market, in which case this Order applies to that supply; or (c) a person who generates electricity solely for its own use and does not supply any third party, where the aggregate installed capacity at the site is below one (1) megawatt, subject to sub-paragraph (4).

(4) A person excluded by sub-paragraph (3)(c) whose aggregate installed capacity at a site is two hundred (200) kilowatts or more but below one (1) megawatt shall, within the Registration Period, file the simplified own-use generation notification in Part B of Schedule 1 and pay the registration fee for Category I set out in Part A of Schedule 3. Paragraph 19(1) does not apply to that person.

(5) Nothing in this Order extends the jurisdiction of the Commission to any activity that remains subject to the regulatory oversight of NERC under the Electricity Act, 2023.

4. Interpretation

In this Order, unless the context otherwise requires:

• "captive generation" means the generation of electricity by a person solely for its own use, without supplying any third party;
• "Commission" means the Ogun State Electricity Regulatory Commission established under the Law;
• "date of transfer" means the date on which regulatory oversight of the Ogun State electricity market was transferred from NERC to the Commission, as stated in the fourth recital to this Order;
• "Existing licensee" means a person holding, on the Effective Date, a valid licence, permit or registration issued by NERC or the Commission for an activity in Ogun State, and includes a multi-State licensee;
• "integrated utility" means a person licensed to carry out both the generation and the distribution of electricity in Ogun State, whether or not it also carries out supply;
• "Law" means the Ogun State Power Sector Law, 2024;
• "material change" includes a change of name, ownership or control, directors or principal officers; the addition, retirement or transfer of assets; entry into, or exit from, a service area; the start or cessation of any activity; and any change in a licence, permit or registration held;
• "multi-State licensee" means a person holding a licence issued by NERC that authorizes activities both within and outside Ogun State;
• "NERC" means the Nigerian Electricity Regulatory Commission;
• "Ogun State operations", in relation to a multi-State licensee, means the part of its business, assets, customers and contracts located in, or relating to supply within, Ogun State;
• "operator" means any person carrying out an activity listed in paragraph 3(1), whether licensed or not;
• “Person” means any being or entity which the law recognizes as having rights and duties.
• "Register" means the Register of Licensees and Electricity Operators maintained under paragraph 15;
• "registrant" means a person who has applied for registration, or is registered, under this Order;
• "Registration Certificate" means the certificate issued under paragraph 13;
• "Registration Period" means the period stated in paragraph 11(1), as extended under paragraph 25;
• "successor distribution company" means a company that succeeded to the distribution business of the former Power Holding Company of Nigeria Plc and holds a distribution licence covering any part of Ogun State, including such a company that is a multi-State licensee, and includes a successor company incorporated under paragraph 7(3)(a) to take over its Ogun State operations;
• "Unlicensed operator" means an operator that does not hold a valid licence, permit or registration, issued by NERC or the Commission, for the activity it carries out in Ogun State; and
• "working day" means any day other than a Saturday, Sunday or public holiday in Ogun State.

Words and expressions defined in the Law have the same meaning in this Order.

PART II — COMMENCEMENT OF OPERATIONS OF THE COMMISSION

5. Declaration of commencement

(1) The Commission hereby declares that it has commenced full regulatory operations as the electricity regulator for Ogun State with effect from the Effective Date.

(2) From the Effective Date, the Commission shall exercise all functions conferred on it by the Law, including:

(a) issuing, amending, renewing, suspending and revoking licences and permits;

(b) setting and reviewing tariffs, charges and the methodology for cost recovery;

(c) making and enforcing regulations, codes, standards and orders;

(d) monitoring the technical, commercial and customer-service performance of licensees;

(e) protecting the interests of consumers and resolving complaints and disputes; and (f) promoting competition, investment and the development of the Ogun State electricity market.

6. Licences for activities wholly within Ogun State

(1) Every licence, permit or registration issued by NERC for an activity carried out wholly within Ogun State shall continue in force on its existing terms, and shall be deemed to be administered by the Commission from the date of transfer, until:

(a) it expires, subject to paragraph 8(5);

(b) the Commission replaces it with a licence or permit issued under the Law; or (c) it is otherwise amended, suspended or revoked by the Commission.

(2) An Existing licensee shall, from the Effective Date:

(a) direct all regulatory filings, reports, returns, notices and applications relating to its Ogun State activities to the Commission and not to NERC;

(b) pay all licence fees, operating levies and other regulatory charges for its Ogun State activities to the Commission; and (c) comply with every regulation, order and directive issued by the Commission.

7. Multi-State licensees

(1) The licence of a multi-State licensee shall, in respect of its Ogun State operations, continue in force on its existing terms and be deemed to be administered by the Commission from the date of transfer, until the Commission issues a licence under the Law for those operations or otherwise amends, suspends or revokes the licence in respect of them.

(2) Paragraph 6(2) applies to a multi-State licensee in respect of its Ogun State operations.

(3) Every multi-State licensee shall, within ninety (90) days of the Effective Date:

(a) submit to the Commission a plan for ring-fencing its Ogun State operations, including the incorporation in Ogun State of a successor company, and the proposed transfer to it of assets, staff, customers and contracts, with timelines;

(b) apply to the Commission, in the name of the successor company or itself, for a licence under the Law for its Ogun State operations; and (c) submit a register of the feeders, lines and metering points that cross the boundary of Ogun State, with the energy flows across each in the last twelve (12) months.

(4) From the Effective Date, a multi-State licensee shall keep separate accounts and records for its Ogun State operations, prepared in the form the Commission may direct.

(5) The Commission shall seek to agree with NERC, and with the regulator of any adjoining State, the arrangements for supply across the State boundary. Until those arrangements are agreed, the arrangements in force on the date of transfer shall continue, subject to any interim direction of the Commission.

8. Continuation of NERC instruments, tariffs and proceedings

(1) Regulations, rules, codes, standards and directives issued by NERC and in force immediately before the date of transfer shall continue to apply to the Ogun State electricity market, with necessary modifications, until replaced by instruments of the Commission. A reference in any of them to NERC shall be read as a reference to the Commission.

(2) Tariff orders issued by NERC, including multi-year tariff orders, minor reviews, and customer service-band classifications, that apply to Ogun State customers and are in force immediately before the date of transfer, shall continue to apply until the Commission issues its own tariff order. No licensee shall change a tariff charged to Ogun State customers without the prior approval of the Commission.

(3) Any application, complaint, investigation, enforcement action or other proceeding relating to Ogun State that was pending before NERC on the date of transfer shall be continued and concluded by the Commission, which may adopt any step already taken by NERC.

(4) Where an Existing licensee has paid to NERC any fee, levy or charge in respect of its Ogun State activities for a period after the date of transfer, the Commission shall, after reconciliation with NERC, determine the credit or adjustment due. No licensee shall be charged twice for the same activity in respect of the same period.

(5) Where the licence or permit of an Existing licensee expires within six (6) months after the Effective Date, the licensee shall apply to the Commission for renewal or replacement. Where the application is made at least thirty (30) days before expiry, the licence or permit shall continue in force until the Commission determines the application.

(6) Every Existing licensee shall, on request, provide the Commission with copies of any report, return or filing it made to NERC in respect of its Ogun State activities in the twenty-four (24) months before the date of transfer.

9. Consumer complaints

(1) From the Effective Date, a customer in Ogun State with a complaint against a licensee or operator shall first refer it to the licensee's or operator's customer complaints unit. A customer who is dissatisfied with the outcome, or who receives no response within the time prescribed by the applicable customer complaints regulations, may refer the complaint to the Commission.

(2) NERC's customer complaints handling regulations shall continue to apply to complaints by Ogun State customers, with the Commission substituted for NERC and its Forum offices, until the Commission makes its own regulations.

(3) Every licensee and registered operator supplying customers in Ogun State shall, within sixty (60) days of the Effective Date, publish the Commission's complaint contact details on its customer bills, website and customer service offices.

10. Principal office, filings and receipt

(1) The principal office of the Commission is at the 5th and 6th Floors, OPIC Building, Oke-Ilewo, Abeokuta, Ogun State.

(2) Filings and enquiries under this Order shall be submitted by hand at the principal office, by email to registration@ogserc.org.ng.

(3) A filing submitted by email is received on the date the Commission's system acknowledges it. A filing acknowledged after 5:00 p.m., or on a day that is not a working day, is received on the next working day. The Commission shall issue a written or electronic acknowledgement of every filing.

PART III — REGISTRATION OF LICENSEES AND OPERATORS

11. Duty to register

(1) Every operator to whom this Order applies, and who is carrying out an activity on the Effective Date, shall register its operations with the Commission within sixty (60) days of the Effective Date ("the Registration Period").

(2) A person who proposes to begin an activity listed in paragraph 3(1) after the Effective Date shall register at least thirty (30) days before it begins that activity or energizes any asset for that purpose.

(3) Registration under this Order is separate from, and does not replace, an application for a licence or permit. Registration does not by itself confer a licence or authorize any activity that requires one.

(4) Where one person carries out more than one activity, or operates in more than one location, it shall make one registration covering all its activities and locations in Ogun State.

(5) A multi-State licensee shall register in respect of its Ogun State operations. On incorporation, a successor company under paragraph 7(3)(a) shall register in its own name within thirty (30) days.

12. Information to be submitted

(1) Each registrant shall complete the registration form in Part A of Schedule 1, and submit the documents listed in Schedule 2, including information on:

(a) corporate identity, ownership, directors and principal officers;

(b) every licence, permit or registration held, with its issuing authority, number, date of issue and expiry;

(c) the activities carried out and the local government areas, towns, feeders or industrial estates served;

(d) installed and available generation capacity (MW), fuel type and connection point, where applicable;

(e) distribution assets, including substations (number and rating in MVA), feeders (number, voltage and route length in km) and transformers (number and rating in kVA);

(f) customers served by class (residential, commercial, industrial, special), with metered and unmetered numbers, and the twenty (20) largest customers by consumption (MWh);

(g) energy received, sent out and billed (MWh), and revenue billed and collected (₦), for each of the last twelve (12) months;

(h) tariffs currently charged and the basis on which they were approved;

(i) bilateral, power purchase, gas supply, bulk supply and franchise agreements in force;

(j) health, safety and environmental incidents, including fatalities, and outages lasting more than twenty-four (24) hours, in the last twenty-four (24) months; and (k) any information the registrant claims to be commercially sensitive under paragraph 15(3), with reasons.

(2) A registrant that has operated for less than two (2) financial years, or that is not required by law to prepare audited financial statements, may submit management accounts, or such other financial information as the Commission may accept, in place of the audited financial statements required by Schedule 2.

(3) A registrant that is not a company, including a cooperative, community organization, sole proprietor, partnership or public body, shall submit the constitutional, registration and authorization documents applicable to it in place of the corresponding corporate documents in Schedule 2.

(4) Where a registrant is unable to provide any information or document within the Registration Period, it shall submit the information it has, state the reason for the omission, and propose a date for completion. The Commission may accept the submission as complete subject to conditions.

13. Determination of registration

(1) A submission is complete when it includes the information and documents required by paragraph 12 and evidence of payment of the registration fee. The Commission shall, within thirty (30) days of receiving a complete submission, either:

(a) issue a Registration Certificate bearing a unique OGSERC registration number; or (b) notify the registrant in writing of any missing or deficient information, which the registrant shall supply within fourteen (14) days.

(2) Where a registrant fails to supply the information required under sub-paragraph (1)(b) within the time allowed, its submission lapses and it shall be treated as not registered, without prejudice to its right to submit a fresh application.

(3) The Commission may refuse registration only where the information submitted is false or misleading, the fee has not been paid, or the person does not carry out or propose to carry out an activity to which this Order applies. The Commission shall give the registrant written reasons and an opportunity to respond under paragraph 20 before refusing registration.

(4) Where the Commission does not act under sub-paragraph (1) within thirty (30) days of receiving a complete submission, the registrant is provisionally registered from the next day until the Commission decides, and the Commission's acknowledgement number shall serve as its registration number in the meantime.

(5) A Registration Certificate is evidence of registration only and is not a licence. It remains valid until cancelled under paragraph 14, subject to the annual confirmation required by paragraph 16(2).

(6) Every registrant shall quote its OGSERC registration number on all correspondence and filings with the Commission and, within ninety (90) days of the issue of its Registration Certificate, on customer bills issued in Ogun State.

14. Cancellation of registration

(1) The Commission may cancel a registration where:

(a) the registrant has ceased all activities to which this Order applies;

(b) the registration was obtained by false or misleading information;

(c) the registrant has been directed to cease operations under paragraph 18 and the wind-down period has ended; or (d) the registrant has failed to file its annual confirmation under paragraph 16(2) for two (2) consecutive years.

(2) Before cancelling a registration, the Commission shall follow the procedure in paragraph 20.

(3) A registrant that intends to cease all its activities in Ogun State shall notify the Commission at least sixty (60) days in advance, state its arrangements for the continued supply of its customers, and apply for cancellation of its registration.

15. Register of Licensees and Electricity Operators

(1) The Commission shall establish and maintain a Register of Licensees and Electricity Operators in Ogun State.

(2) The Commission shall publish on its website the name, registration number, licence status, activities and areas of operation of each registered person.

(3) A registrant may identify any information it submits as commercially sensitive and give reasons. The Commission shall decide the claim and notify the registrant, and shall treat the information as confidential until it decides. Information accepted as commercially sensitive shall not be disclosed except as required by the Law or any other law, by order of a court, or under paragraph 23.

(4) The Commission shall process personal data submitted under this Order in accordance with the Nigeria Data Protection Act, 2023, and shall use it only for regulatory purposes.

16. Continuing obligations

(1) A registrant shall notify the Commission in writing within fourteen (14) days of any material change in the information registered.

(2) Every registrant shall, by 31 January of each year, file an annual confirmation of registration that updates the information in Part A of Schedule 1 as at 31 December of the preceding year.

(3) Every registrant shall submit such periodic technical, commercial and customer-service returns as the Commission may prescribe by regulation, guideline or direction.

17. Fees

(1) Every registrant shall pay the one-time registration fee set out in Part A of Schedule 3 for its category, into the account designated by the Commission, at the time of submission. Where a registrant falls into more than one category, the fee for the highest category applies. A successor distribution company shall register under Category A, and an integrated utility under Category B, for all of their activities in Ogun State.

(2) The registration fee is non-refundable. It is not a licence fee or operating levy, and does not affect any other fee, levy or charge payable under the Law.

(3) The Commission may waive or reduce the registration fee for a community-owned mini-grid or a public-sector rural electrification project.

(4) Late registration attracts the administrative charges set out in Part B of Schedule 3.

PART IV — UNLICENSED OPERATORS, COMPLIANCE AND ENFORCEMENT

18. Regularization of unlicensed operators

(1) An unlicensed operator that registers within the Registration Period and, within ninety (90) days of the Effective Date, applies to the Commission for the appropriate licence or permit, may continue its operations pending the determination of that application, provided that it:

(a) maintains safe and continuous supply to existing customers;

(b) does not connect new customers or extend its network without the written approval of the Commission;

(c) charges no tariff higher than the tariff in force on the Effective Date, files its current tariff schedule and the basis for it with its registration, and applies any interim tariff the Commission may direct; and (d) complies with any interim direction issued by the Commission.

(2) An unlicensed operator that registers but does not apply for a licence or permit within ninety (90) days of the Effective Date shall, from the ninety-first (91st) day, be treated as operating without authority, and paragraph 19(4) shall apply to it.

(3) Where an unlicensed operator's network overlaps the service area of an Existing licensee, the Commission shall decide the arrangement that best protects consumers and the integrity of the market, after giving notice to the unlicensed operator, the Existing licensee and affected customers, and an opportunity to make written submissions and to be heard. In deciding, the Commission shall have regard to:

(a) the reliability and quality of supply to affected customers;

(b) existing supply contracts and the investment made by each party;

(c) the stated preference of affected customers;

(d) the rights of the Existing licensee under its licence and the Law;

(e) safety and the technical integrity of the networks; and (f) efficient investment and the avoidance of duplicated networks.

(4) The arrangement under sub-paragraph (3) may be licensing, a franchise or sub-franchise agreement, an asset-transfer agreement, or a direction to cease operations with an orderly transfer of customers.

(5) Where the Commission refuses an application under sub-paragraph (1) or directs an operator to cease operations, it shall fix a wind-down period of not less than sixty (60) days, except where immediate cessation is required for safety. During that period the operator shall maintain supply to its customers, co-operate in the transfer of customers to a licensee designated by the Commission, refund or transfer customer deposits and credit balances, and deal with its assets as agreed with the designated licensee or as the Commission may determine.

(6) Nothing in this paragraph validates any past act done without a licence, or bars the Commission from taking enforcement action for conduct before the Effective Date.

19. Failure to register and other breaches

(1) A person who fails to register within the period required by paragraph 11 shall pay the administrative charges for its category set out in Part B of Schedule 3, without prejudice to any other sanction under the Law. The total daily charges shall not exceed the maximum stated in Part B of Schedule 3.

(2) Daily charges do not accrue during any extension of the Registration Period under paragraph 25, or while a complete submission is awaiting the Commission's decision.

(3) A person who knowingly submits false or misleading information under this Order commits a breach of this Order and is liable to an administrative penalty of up to ₦5,000,000.00 (Five Million Naira only) to cancellation of its registration, and to referral for prosecution.

(4) From the end of the Registration Period, the Commission may treat any person operating without registration as an unlicensed operator, and may take any action open to it under the Law, including:

(a) issuing a compliance or cease-and-desist order;

(b) refusing, suspending or revoking a licence or permit;

(c) referring the matter for prosecution; and (d) directing an Existing licensee to take over the supply of affected customers.

(5) Sub-paragraph (4) also applies to a registrant that fails to comply with paragraph 13(1)(b), paragraph 16 or paragraph 22.

20. Procedure before enforcement

(1) Before imposing an administrative charge or penalty, refusing or cancelling a registration, or taking any action under paragraph 18(3), 18(5) or 19(4), the Commission shall serve on the person concerned a written notice that states the facts relied on and the action proposed, and gives the person not less than fourteen (14) days to make written representations.

(2) Where immediate action is necessary to protect the safety of persons or property, or the continuity of supply, the Commission may issue an interim direction without prior notice. It shall then give the person an opportunity to make representations within fourteen (14) days, and shall confirm, vary or withdraw the direction.

(3) The Commission shall communicate its decision in writing, with reasons.

21. Review and appeal

(1) A person aggrieved by a decision of the Commission under this Order may, within thirty (30) days of being notified of it, apply to the Commission in writing for a review. The Commission shall determine the application within thirty (30) days.

(2) An application for review does not suspend the decision unless the Commission so directs, and is without prejudice to any right of appeal under section 71 of the Law.

22. Inspection and verification

(1) Officers authorized in writing by the Commission may inspect any installation, asset, meter or record of a registrant or operator to verify the information submitted or compliance with this Order.

(2) The Commission shall give not less than forty-eight (48) hours' notice of an inspection, except where it has reasonable grounds to believe that an installation is unsafe or that an activity is being carried out without a licence, permit or registration.

(3) An authorized officer shall produce identification and the written authorization on request. The registrant or operator shall give reasonable access and assistance, and shall not obstruct the inspection.

PART V — MISCELLANEOUS

23. Information sharing

The Commission may share information in the Register, and information submitted under this Order, with NERC, the Nigerian Independent System Operator, the Ogun State Government and its agencies, for regulatory, planning and enforcement purposes, on terms that protect any information accepted as commercially sensitive under paragraph 15(3).

24. Guidelines and forms

The Commission may issue guidelines, forms, templates and an online registration portal to give effect to this Order, including the detailed registration form based on Schedule 1.

25. Extension of the Registration Period

The Commission may, by public notice, extend the Registration Period generally or for any class of operator.

26. Saving

Subject to paragraph 18(6), nothing in this Order affects any right, obligation or liability accrued under any licence, contract or law before the Effective Date.

27. Publication and service

This Order shall be published in the Ogun State Gazette, on the Commission's website, and in at least two newspapers circulating in Ogun State. The Commission shall also send a copy to NERC and to every Existing licensee known to it.

MADE at Abeokuta this 26th day of October 2026.

Schedule 1: Registration form

(Paragraphs 3(4), 12 and 16(2))

Schedule 2: Supporting documents

(Paragraph 12)

1. Certificate of incorporation and CAC status report, or equivalent registration documents for a registrant that is not a company

2. Memorandum and articles of association, or equivalent constitutional documents

3. Copy of every licence, permit or registration held

4. Single-line diagram of the generation or distribution network

5. Asset register, with GPS coordinates of substations and generation plants

6. Audited financial statements for the last two (2) financial years, or the alternative financial information permitted by paragraph 12(2)

7. Copies of PPAs, gas supply, bulk supply, franchise and sub-franchise agreements

8. Approved tariff orders or schedules currently applied, or, for an unlicensed operator, the tariff schedule currently charged and its basis

9. Customer enumeration summary by class and metering status

10. Environmental and safety permits, including any EIA approval

11. Board resolution, or equivalent authorization, approving the registration and the signatories

12. Evidence of payment of the registration fee

13. For a multi-State licensee: a separate asset, customer and contract register for its Ogun State operations, and the register of cross-boundary feeders and metering points required by paragraph 7(3)(c)

Schedule 3: Fees and administrative charges

(Paragraphs 17 and 19)

When the maximum total daily charges are reached, the Commission shall proceed under paragraph 19(4).