Edo gives unlicensed electricity operators 30-day deadline

The Edo State Electricity Regulatory Commission has ordered all persons and entities operating within the state’s electricity market without licences or permits to cease such activities and apply for the relevant approvals within 30 days.

The directive was contained in Order No. ESERC/ORDER/2026/001, dated September 11, 2026, issued by the Chairman of ESERC, Dr Shittu Shaibu, which was made available late Tuesday.

Shaibu said the order was part of measures to establish the regulatory framework for the state’s electricity market.

Under the order, the commission said no person or entity may engage in electricity generation, transmission, distribution, supply, trading, power exchange, or system and market operation in Edo without a licence or permit issued, or deemed to have been issued, by the commission.

It specifically warned that holding a licence issued by another regulatory body, including the Nigerian Electricity Regulatory Commission, would not by itself constitute a defence, except where expressly provided under the Edo State Electricity Law, 2025.

The commission directed unlicensed operators to immediately stop regulated activities and apply for the appropriate licence or permit within 30 days of the order.

However, where stopping an operation could disrupt electricity supply to consumers, affected operators are required to notify the commission within seven days. ESERC may then make interim arrangements to ensure consumers are not disconnected as a result of enforcement action.

The order also requires existing holders of licences, permits and other regulatory instruments issued by NERC for activities in Edo State to apply for regularisation, revalidation and re-issuance within 30 days.

Such operators are required to submit their existing NERC licences, corporate documents, details of assets and installed capacity, customer information, relevant power and supply agreements, audited financial statements and other documents prescribed by the commission.

ESERC said existing NERC licensees who apply within the stipulated period may continue operating under their existing instruments, which are deemed to have been issued by the state commission, pending determination of their applications.

Failure to regularise within the prescribed period could result in the operator being deemed to be operating without a licence and exposed to enforcement proceedings.

The commission warned that violations could attract prosecution, with penalties including a fine of not less than N1m, or a fine of up to N10m and a daily fine of up to N500,000 for continuing offences.

It further stated that it may issue cease-and-desist orders against unlicensed operators and, subject to a court order, temporarily confiscate, seal or take possession of their undertakings.

“Every person and entity is hereby prohibited from undertaking any regulated activity within the Edo State Electricity Market without a licence or permit,” the commission declared.

The order, however, exempts specified small-scale captive and renewable generation and certain mini-grid operations from licensing requirements, subject to applicable technical and safety standards.

ESERC also confirmed that existing tariffs, regulatory instruments, technical codes, consumer protection rules and other applicable standards would remain in force until amended or replaced.

The commission said it would subsequently publish market rules, licence application regulations, procedures and applicable fees for the Edo State electricity market.