The House of Representatives has passed the Electricity Act (Amendment) Bill, 2025, for Second Reading.
The landmark step is aimed at creating the National Authority for Renewable Energy [NARE] as Nigeria’s principal body for regulating and promoting renewable energy.
The Bill was sponsored and moved by the Member representing Ogbaru Federal Constituency and Chairman, House Committee on Renewable Energy, Mr Afam Victor Ogene.
While leading the debate on the motion, Mr Ogene said that ”the Bill seeks to address structural gaps in the power sector by transferring renewable energy functions from the Nigerian Electricity Regulatory Commission [NERC], Rural Electrification Agency [REA] and Rural Electrification Fund [REF] to the proposed NARE.”
“This specialisation will improve coordination, reduce institutional overlaps and provide focused direction for the effective development of the renewable energy sector,” Mr Ogene stated.
He noted that key objectives of the Bill include; institutional Consolidation: Centralise regulation and supervision of renewable energy under one dedicated authority.
the lawmaker said;” Energy Access empowers NARE to promote mini-grid and off-grid systems in rural, unserved, underserved communities and islands. Investment and Jobs: Provide financial, fiscal and regulatory incentives to boost local manufacturing, research and capacity building in the sector.
”Energy Diversification drives the development of solar, wind, hydro, geothermal, biomass and hydrogen to broaden Nigeria’s energy mix. Consumer Protection: Mandate NARE to handle licensing, standards, fair tariffs, and dispute resolution for a transparent market. Collaboration: Ensure cooperation between NARE, NERC, and the Federal Ministry of Finance for grid integration and policy harmonisation.”
He also said that the Bill further proposes that 40% of the annual funds of the Rural Electrification Fund be allocated to NARE to finance renewable energy development.
Mr Ogene argued that Nigeria must look beyond grid expansion to solve its electricity challenges.
“We must embrace innovative, decentralised and renewable energy solutions that can reach communities and businesses more efficiently,” he said.
Following debate on the motion, the House unanimously adopted the Bill for Second Reading and referred it to the relevant Committee for further legislative scrutiny, including provisions for the transfer of personnel, assets and ongoing projects.
