Governor Lucky Orimisan Aiyedatiwa of Ondo State has assented to the Ondo State Electric Power Sector (Amendment) Law, 2026, a legislation aimed at strengthening electricity regulation and creating a more investment-friendly power sector in the state.
The new law, passed by the Ondo State House of Assembly, amends the Ondo State Electric Power Sector Law, 2020, and aligns the state’s electricity framework with recent constitutional and statutory developments, particularly the Electricity Act, 2023.
A major provision of the legislation is the establishment of the State Electricity Regulatory Commission (SERC) as an independent body to regulate electricity activities and standards across the state.
The commission will oversee tariffs, open access, franchises, third-party investments, mini-grids and renewable energy development, while also issuing licences and permits for electricity generation, transmission and distribution.
The law also provides for the establishment of the State Independent System Operator and State Market Operator to facilitate the effective operation and development of Ondo State’s electricity market, while making metering compulsory in both grid-connected and off-grid areas.
It further protects electricity infrastructure financed by communities, associations and private individuals, including transformers and distribution lines connected to the public network.
The law criminalises deliberate obstruction of certified electricity infrastructure under the offence of “Electricity Infrastructure Expansion Sabotage,” with offenders liable to a ₦2 million fine and an additional ₦25,000 for every day the violation continues after written notice.
Another key provision is the establishment of the Equipment Standards and Competence Certification Agency (ESCCA), which will inspect, test and certify electrical equipment and installations, as well as license and accredit electrical installers, technicians, contractors and operators.
The legislation also strengthens the commercial role of the Ondo State Power Company, empowering it to invest in electricity generation, transmission and distribution, including mini-grids, independent distribution networks, renewable energy, future energy technologies and small hydro projects.
To boost investor confidence, the law allows the state government to grant specified exclusivity rights to investors developing electricity generation, transmission, distribution and related fuel-supply infrastructure.
It also classifies eligible electricity investments by the government, agencies, communities, individuals and other recognised stakeholders as “State Protected Investments.”
The Commissioner for Energy and Mineral Resources, Engr. Johnson Jaiyeola Alabi, described the governor’s assent as a major milestone in the administration’s efforts to build a modern, sustainable and investment-driven electricity sector.
He said the law would encourage private-sector participation, improve regulation and metering, protect investments and promote renewable and alternative energy sources.
Governor Aiyedatiwa reaffirmed his administration’s commitment to using the electricity sector to drive industrialisation, economic growth and improved living standards, saying the new framework would position Ondo State to attract investments, expand electricity infrastructure and develop a more reliable and sustainable electricity market.
