Electricity Power Grid Economy
… Stakeholders advise government to invest in IPP
By Emmanuel Abi Couson
In a renewed vigour to provide electricity to Deltans, the State Government has opened Electricity Market to Private Investors as well as Established New Power Regulatory Agencies
This is a bold step toward transforming its electricity sector especially with the adoption of a decentralized mini-grid model and the establishment of new regulatory bodies to drive a sustainable power market.
Speaking during a post-Executive Council (EXCO) press briefing in Asaba, the Commissioner for Economic Planning, Mr. Sonny Ekedayen, said the initiative aligns with Governor Sheriff Oborevwori’s MORE Agenda, which prioritizes infrastructure and improved service delivery across the state.
He recalled that the Delta State House of Assembly had earlier domesticated the Federal Government’s 2023 Electricity Act, thus providing the legislative foundation for the state to chart its own course in electricity generation, distribution, and regulation.
Ekedayen said; “with the passage of that law, we now have a clear pathway toward providing reliable and steady electricity supply to Deltans at competitive prices. This latest EXCO approval marks another major milestone in our journey.”
According to the Commissioner, the state government had adopted a mini-grid model that will allow multiple independent operators to provide end-to-end electricity services in various locations across the state.
He explained that the approach differs significantly from the conventional centralized grid, which often leaves entire regions in darkness when there is a failure at a single point in the system.
“With the mini-grid approach, if an outage occurs in one part of the state, it won’t affect other areas. Each operator is responsible for generation, distribution, and supply within their designated zones, which enhances resilience and reliability”, he explained.
He noted that the model also allows service providers to propose energy solutions based on the most viable energy mix for their area.
While conventional gas-powered sources remain an option, operators can also explore renewable energy alternatives such as solar and hydro power.
Ekedayen emphasized that the entire electricity reform would be privately funded, with the state government providing only the regulatory framework and the enabling environment.
He said: “This is a private sector-driven initiative. Our role is to set the rules, ensure fairness, and create the atmosphere for investment and innovation to thrive.”
To support this framework, the EXCO approved the establishment of the Delta State Electricity Commission, which will serve as the central regulatory authority. The Commission will be responsible for issuing licences, monitoring compliance, and mediating between operators and consumers.Delta state tourism
Also approved was the establishment of a Rural Electricity Agency, which will focus on delivering electricity to under-served rural communities across the state, ensuring inclusivity and equity in power distribution.
In addition, the state has created the role of a System Operator to oversee the technical coordination of generation and supply processes, and a Market Operator who will track supply data, enforce service standards, and ensure that minimum electricity hours are delivered to homes and businesses.
Ekedayen announced that a consultant would also be appointed to help midwife the electricity transition process, providing expert guidance and assisting in the creation of a robust implementation roadmap.
He acknowledged that while electricity market reform was still new territory for many sub-national governments, Delta State remained committed to getting it right. “Only a few states in Nigeria have dared to venture this far,” he said.Delta state tourismNigerian culture merchandise
He stressed; “but we are determined to deliver not just electricity, but a system that works, one that creates jobs, supports industry, and improves the quality of life for our people.”
The Commissioner added that the journey would be deliberate and methodical to avoid costly mistakes, but always with the people’s best interests at the core of every decision.
He described the latest EXCO approvals as the formal birth of the Delta State electricity market and expressed optimism that the business and manufacturing sectors would welcome the initiative with enthusiasm.Delta state tourism
“With this, we are confident that Delta is on course to becoming a model for sub-national electricity transformation in Nigeria,” he concluded.
However, some Deltans who spoke with Newsspeng online while acknowledging the giant step doubt if any investor would want to dabble into electricity generation without government investments.
According to those interviewed , they are of the opinion that the state government should invest also in power generation like Lagos State did.
For example which organization would invest in rural electrification and expect to get her return on investments with the lower purchasing power of the masses? said Mr Charles Agbroko, a development expert who is a certified engineer.
