Nigeria House passes second reading bill to create National Authority for Renewable Energy

A bill seeking to establish the National Authority for Renewable Energy to regulate, coordinate and promote the development and utilisation of renewable energy in Nigeria has scaled second reading at the House of Representatives   The Electricity Act (Amendment) bill, sponsored by Afam Ogene, chairman of the House Committee on Renewable Energy, seeks to strip the Nigerian Electricity Regulatory Commission (NERC), the Rural Electrification Agency (REA) and the Rural Electrification Fund (REF) of their renewable energy-related powers and transfer the functions to the proposed authority.   The bill passed its second reading during Thursday’s plenary after lawmakers debated it.   Ogene told lawmakers that the proposed legislation would address institutional gaps in the electricity sector and provide a dedicated regulatory framework for renewable energy development.     He identified specialised regulation, rural electrification, investment and employment generation, energy diversification, consumer protection and institutional funding as key objectives of the bill.   The legislator said the proposed authority would promote mini-grid and off-grid electricity systems in remote, unserved and underserved communities, while encouraging local production, research, technological innovation and capacity development.   He said the legislation would also establish provisions for tariffs, licensing, operating standards, compliance monitoring and dispute resolution.     The bill sparked divergent views among legislators, with supporters arguing that a dedicated renewable energy regulator would address gaps in oversight and strengthen the sector, while opponents warned that the proposed authority could duplicate existing functions and increase governance costs.   Victor Nwokolo, chairman of the house committee on power, rejected the bill, questioning the rationale for the proposal to remove renewable energy regulation from NERC at a time when the country was seeking to streamline government institutions.   Nwokolo noted that the Electricity Act 2023 had empowered subnational governments, including local governments, to establish their own electricity generation, distribution and marketing systems.   The lawmaker said he had recently participated in discussions at the power ministry on amending the Electricity Act to establish uniform regulatory standards.     He argued that creating a separate authority for renewable energy could complicate regulatory coordination and undermine efforts to reduce governance costs.   Ahmadu Jaha, an APC lawmaker from Borno, concurred with Nwokolo, describing the proposed authority as a potential duplication of existing regulatory functions.   Jaha noted that separating renewable energy regulation from conventional electricity regulation could create confusion in the sector, particularly since existing institutions had already been engaging with lawmakers on regulatory reforms.   However, Ibrahim Almustapha, lawmaker from Sokoto, supported the bill, stating that renewable energy regulation suffered from significant oversight gaps that warranted a dedicated institution.     Almustapha said the growing participation of subnational governments in electricity provision had exposed capacity deficiencies that a specialised regulator could help address.   Mark Esset, an APC member from Akwa Ibom, also backed the bill, saying decades of electricity supply challenges underscored the need for fresh approaches to regulation and energy development.     Esset said the growing adoption of renewable energy by households and businesses made it necessary to establish clear rules and standards to guide the sector’s expansion.   He rejected the argument that the proposed authority would undermine NERC, contending that the bill was consistent with broader efforts to decentralise electricity regulation, generation and distribution.     Lawmakers overwhelmingly voted in support of the bill when Tajudeen Abbas, speaker of the house, called for a voice vote.   A recent report by Ember, an energy think tank, projected that Nigeria will install 1.7 gigawatts (GW) of solar power in 2026.     In the report released on August 27, titled ‘The take-off in African solar that official statistics can’t yet see’, Ember estimated that the continent will install a record 17GW of solar capacity in 2026 — a 45 percent increase from 2025.   Last month, the federal government backed away from plans to immediately ban the importation of solar panels.   Kingsley Udeh, minister of innovation, science and technology, announced the position following concerns from business leaders and renewable energy advocates that an immediate ban could increase costs and undermine access to clean energy.

The bill seeks to transfer renewable energy functions from the Nigerian Electricity Regulatory Commission, Rural Electrification Agency and Rural Electrification Fund to a proposed National Authority for Renewable Energy. The post Reps move to establish national authority for renewable energy, pass bill for second reading appeared first on Premium Times Nigeria.

By Gift ChapiOdekina, Abuja The House of Representatives has passed the Electricity Act (Amendment) Bill, 2025, for second reading, setting the stage for further legislative consideration of a proposed National Authority for Renewable Energy (NARE). The bill, sponsored by Afam Victor Ogene, member representing Ogbaru Federal Constituency, Anambra State, and Chairman of the House Committee […] The post Reps advance bill to establish renewable energy authority appeared first on Vanguard News.

The House of Representatives has passed for second reading a bill seeking to establish a National Authority for Renewable Energy to regulate and promote it Read More: https://punchng.com/reps-consider-bill-to-create-renewable-energy-authority/

The House of Representatives has taken a major step toward reshaping Nigeria’s power sector by passing for second reading a bill that seeks to create the National Authority for Renewable Energy (NARE).The proposed legislation, the Electricity Act (Amendment) Bill, 2025, was sponsored by Afam Ogene, who represents Ogbaru Federal Constituency in Anambra State and chairs the House Committee on Renewable Energy.Ogene explained that the bill would consolidate renewable energy responsibilities currently spread across agencies such as the Nigerian Electricity Regulatory Commission (NERC), the Rural Electrification Agency, and the Rural Electrification Fund. By centralising these functions under NARE, he argued, Nigeria could achieve better coordination, reduce duplication, and accelerate the growth of clean energy.Under the plan, NARE would:Promote renewable projects such as mini-grids and off-grid systems for rural and underserved communities.Support local manufacturing and research through incentives to attract investment and create jobs.Develop diverse energy sources including solar, wind, hydro, biomass, geothermal, and hydrogen.Oversee licensing and tariffs, set standards, and resolve disputes in the renewable energy market.A key provision of the bill allocates 40 per cent of the Rural Electrification Fund to NARE, ensuring dedicated financing for renewable energy development.Ogene emphasised that expanding the national grid alone cannot solve Nigeria’s electricity challenges. Instead, decentralised solutions like solar mini-grids could deliver power more efficiently to households, businesses, and public facilities in remote areas.Following debate, lawmakers unanimously adopted the bill for further scrutiny by the relevant committee, which will review details such as the transfer of personnel, assets, and ongoing projects from existing institutions.The initiative comes amid Nigeria’s broader efforts to tackle persistent electricity shortages and expand access through alternative energy sources. While the proposal promises stronger institutional focus on renewables, lawmakers acknowledged that careful consideration will be needed to clarify funding arrangements and the relationship between NARE and existing agencies.