The bill, titled Electricity Act (Amendment) Bill 2025, is expected to decentralize Nigeria’s power sector, encouraging investment and competition.
Speaking at the signing ceremony, Tinubu emphasized that the move would boost economic growth by allowing states to develop independent power projects tailored to their needs.
The Electricity Amendment Act marks a significant reform in Nigeria’s energy sector, handing over control from the federal government to individual states.
According to BBC:
“The Act gives states the authority to generate, transmit, and distribute power within their borders, shifting control from the federal government to the states. It allows states to license private investors to operate mini-grids and power plants within their jurisdiction.”