Aiyedatiwa Signs 2026 Electricity Law, Sets New Regulatory Framework to Expand Power Access in Ondo.

Aiyedatiwa Signs 2026 Electricity Law, Sets New Regulatory Framework to Expand Power Access in Ondo.

AKURE, Ondo State  Governor Lucky Orimisan Aiyedatiwa has signed the Ondo State Electric Power Sector (Amendment) Law, 2026 into law, introducing a strengthened regulatory and institutional framework aimed at expanding electricity access, attracting investment and improving the efficiency of the state’s power sector.

The new legislation establishes the Ondo State Electricity Regulatory Commission as the principal regulator of the state’s electricity market. According to reports by Punch and The Precision, the commission will oversee areas including electricity tariffs, licensing, investment, mini-grids, renewable energy and other activities across the sector.

The law also provides for the establishment of a State Independent System Operator and State Market Operator, institutions designed to support the development of a more structured and competitive electricity market. It further makes metering compulsory, strengthens protection for community  and privately funded electricity infrastructure, and introduces penalties for the sabotage of power facilities.

Another key provision is the establishment of an Equipment Standards and Competence Certification Agency, which will be responsible for regulating electrical equipment and ensuring that professionals working within the sector meet required technical and safety standards. The legislation also strengthens the role of the Ondo State Power Company, while providing greater regulatory certainty for investors in electricity generation, distribution, renewable energy and related infrastructure.

The development follows months of legislative review. In March 2026, the Ondo State House of Assembly held a public hearing on the proposed amendment to the 2020 electricity law, with stakeholders calling for a framework capable of responding to changes brought about by Nigeria’s evolving electricity market. The Assembly subsequently passed the amendment bill in April. THIS DAY, reporting on the Assembly’s action, said lawmakers viewed the amendment as necessary to provide a stronger legal framework, improve operational efficiency and enhance revenue generation for the state.

The reform builds on Ondo’s earlier efforts to establish a state level electricity market. The state had already obtained regulatory oversight powers and established the Ondo State Electricity Regulatory Bureau under its existing electricity framework. In 2024, Governor Aiyedatiwa also introduced a mass metering initiative and directed electricity distribution companies operating in the state to end estimated billing and provide meters to consumers.

The new law comes amid Nigeria’s broader shift towards decentralized electricity regulation following the Electricity Act 2023, which expanded the ability of states to establish and regulate electricity markets within their territories. Ondo’s latest legislation therefore represents an attempt to deepen the state’s participation in electricity generation, distribution, regulation and investment while creating clearer institutional responsibilities.

For residents and businesses, however, the effectiveness of the new law will ultimately depend on implementation. Stronger regulation, investment incentives and tougher enforcement can provide the foundation for improved electricity services, but translating the legislation into reliable and affordable power will require sustained investment in generation and distribution infrastructure, effective regulation and cooperation among government agencies, investors, communities and electricity operators.

The Ondo State Government says the legislation is intended to attract private capital, expand electricity access, promote renewable energy and provide a more reliable power base for industrialisation and economic development.