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Nigeria’s electricity landscape is increasingly defined by off-grid and decentralised solutions. A significant portion of current activity, including commercial and industrial (C&I) power generation, distributed energy solutions, and renewable energy projects, is being developed outside the national grid, driven by reliability challenges and the need for flexible, captive power arrangements.
2 May 26
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In parallel, the emergence of state electricity markets under the Electricity Act 2023 has further shifted the centre of gravity away from a purely national grid model. Many states, particularly those without immediate access to the transmission network, are expected to rely heavily on mini-grid and embedded generation frameworks as the primary vehicles for electrification and market development. Even in states with access to the national grid, mini-grids are likely to play a complementary role in addressing last-mile delivery and underserved clusters.
Against this backdrop, it was both necessary and timely for the Nigerian Electricity Regulatory Commission (“NERC” or the “Commission”) to update the regulatory framework governing mini-grids at the national level. Accordingly, in exercise of the powers conferred upon it under section 226 of the Electricity Act 2023 (the “EA”) and other enabling provisions, NERC has issued the Mini-Grid Regulations 2026 (the “2026 Regulations”). The 2026 Regulations is aimed at expanding electricity access in unserved and underserved communities, whilst ensuring safety standards, fair tariff structures, consumer protection, and investment security within Nigeria’s power sector.
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