The Osun State House of Assembly has passed the Osun State Electricity Market Regulatory Bill 2025, paving the way for the creation of a state-level electricity regulatory commission aimed at ending consumer exploitation and opening up the sector to private investment.
The bill, titled the Osun State Electricity Market Regulatory Bill 2025, was passed by the Osun State House of Assembly, on Monday as reported by the News Agency of Nigeria (NAN).
The legislation comes in response to growing concerns over arbitrary billing, poor service delivery, and lack of accountability among electricity distribution companies operating in the state.
“Gov. Ademola Adeleke of Osun says that the Osun Electricity Regulatory Commission bill passed by the Osun House of Assembly will end exploitation of consumers in the state when signed into law,” the source read in part.
It added “The governor described the bill as a major tool to deepen and boost the economy of the state. According to him, the bill will open up opportunities for investors in the power sector, particularly in off-grid power generation.
He noted that once signed into law, the bill will give Osun State control over electricity regulation within its borders, in line with the 2023 constitutional change that allows states to manage power generation, transmission, and distribution.
More insights
In a statement issued on Tuesday by his spokesperson, Malam Olawale Rasheed, Governor Ademola Adeleke said the commission will serve as a watchdog over the electricity market, ensuring better service delivery and consumer protection.
He described the bill as a major step toward resolving Osun’s chronic power supply issues and attracting new investment in off-grid and renewable energy.
The commission will be tasked with issuing licenses, enforcing service standards, mediating disputes between providers and end-users, and ensuring fair pricing and transparent billing.
The governor also noted that the bill will facilitate diversification of the state’s energy mix by encouraging clean energy technologies such as mini-grids and solar power.
Adeleke commended the state assembly and the Ministry of Energy for their role in the legislative process and acknowledged the contribution of stakeholders involved since the draft bill was first initiated in 2023.
The bill is expected to be signed into law in the coming days, after which the regulatory framework will be implemented.
What You Should Know
The bill follows the constitutional shift allowing states to regulate electricity independently of federal authorities.
- In June 2023, Osun began work on its electricity policy, including plans to establish the Osun State Electricity Regulatory Commission.
- The commission will issue licenses to private power producers and regulate relationships among generators, distributors, and consumers.
- The broader plan includes expanding electricity access to all communities in Osun, using mini-dams and other off-grid solutions.
The policy also aims to drive private sector participation and support the adoption of renewable and green energy technologies.
