THE MANDATE:
The Lagos State Electricity Law 2024 is a comprehensive plan of Governor Babajide Sanwo-Olu’s resolve to address longstanding challenges in the energy sector. The law will lay a robust foundation for economic growth, fostering industrial growth, improved quality of life, energy equity, economic prosperity, and environmental sustainability.
OBJECTIVES OF THE LAW
- Establish a Lagos Electricity Market that is technically sound, financially viable, and well-regulated
- Ensure access to affordable, reliable, and sustainable electricity for all citizens.
- Promote diverse energy sources, including renewable energy, and encourage energy efficiency.
- Foster investment, competition, and innovation in the electricity sector.
- Electrify underserved areas, contributing to the sustainable development of Lagos State.
INSTITUTIONS TO BE CREATED
The law establishes critical institutions to manage and oversee the electricity market:
1. Lagos State Electricity Regulatory Commission: Independent oversight for regulatory compliance and licensing.
2. Lagos Independent System Operator (ISO): Ensuring system reliability and operational efficiency.
3. Lagos State Electrification Agency: Focused on expanding electricity access to underserved communities.
4. Special Funds:
(i). Electrification Funds - Financing electrification projects and sustainable energy solutions in underserved and Unserved Communities.
(ii) Host Community Development (Community Trust Fund) - Licensed Power Generating Companies must allocate a percentage of the previous year’s operating expenditure to developing their host communities.
5. Power Enforcement Unit - To address issues of Electricity theft, damage and theft of infrastructure
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