MTN and other companies have received permits to generate electricity.

In a progressive move towards enhancing Nigeria’s energy landscape, the Nigerian Electricity Regulatory Commission (NERC) has granted permits to several companies, including Golden Penny Power Limited and MTN Communications Nigeria Limited, for mini-grid electricity generation. As part of its efforts to promote off-grid solutions, NERC issued nine new off-grid generation licenses in the first quarter of 2024, collectively contributing a gross capacity of 109.69 megawatts.

Among the notable permits, Golden Penny Power Limited is authorized to construct six off-grid gas plants across Lagos, Oyo, Ogun, and Cross River states, with a total capacity of 100 megawatts. MTN received a permit to establish four captive generation plants in Lagos State, amounting to 15.94 megawatts. Other companies, including SweetCo Foods Limited, African Steel Mills Nigeria Limited, and West African Ceramics Limited, have also been granted permits for captive power generation.

The framework for these permits is grounded in Section 165(1)(m) of the Electricity Act 2023, empowering the commission to award mini-grid concessions to renewable energy companies. This provision encourages entities to generate and distribute electricity within a designated geographical area, furthering the development and utilization of renewable energy solutions.

Additionally, NERC certified six Meter Service Providers during this period, including both installers and manufacturers of electric energy meters. The commission also issued one regulation and 36 new orders to regulate the sector more effectively, addressing various operational aspects of electricity distribution and management.

As Nigeria continues to pursue energy diversification and sustainability, the recent licenses and regulations by the NERC represent significant steps towards achieving a more resilient and inclusive electricity sector.