Edo Deepens Electricity Reforms, Courts Private Investment

Felix Omoh-Asun in Benin City The Edo State Government is stepping up efforts to attract private investment into its electricity sector as part of a broader strategy to expand power generation, strengthen regulation and improve electricity supply across the state. The renewed push comes as Governor Monday Okpebholo marks two years in office and the Commissioner for Power, Paul Usenbo, completes his first year in the State Executive Council. Under Usenbo’s leadership, the state’s electricity sector has undergone significant policy and institutional reforms, including the transition to state-level regulation, licensing of private operators, expansion of generation capacity, implementation of metering programmes and partnerships designed to improve electricity access and stimulate industrial growth. One of the major developments is Edo State’s acquisition of a 10 per cent equity stake in the proposed 100-megawatt (MW) power plant in Ologbo, through an arrangement negotiated with CCETC and First Bank. The investment marks a strategic shift towards direct government participation in the electricity value chain, positioning the state to benefit from potential recurring revenue while creating employment opportunities and supporting reliable power supply for businesses and industries. The Ologbo project is also expected to accommodate a 300-tonne-per-day liquefied natural gas (LNG) facility. Governor Okpebholo performed the groundbreaking ceremony for the facility in February 2026 in what the government considers a significant step towards strengthening the state’s energy infrastructure and supporting growing industrial demand. Beyond the Ologbo investment, the government is pursuing a proposed 200MW independent power project in Edo North. It is also exploring distributed generation and renewable energy investments to expand electricity supply across the state’s three senatorial districts. At the heart of the state’s electricity transformation is the implementation of the Edo State Electricity Law 2024, signed by Governor Okpebholo in February 2025. The legislation provides the legal framework for private-sector participation in electricity generation, transmission and distribution, while establishing the institutional structure required for an independent state electricity market. A major outcome has been the establishment of the Edo State Electricity Regulatory Commission (ESERC), following the transition from federal oversight by the Nigerian Electricity Regulatory Commission (NERC). The transition gives the state greater responsibility for regulating its electricity market, licensing operators and enforcing standards relating to service delivery, transparency, accountability and consumer protection. So far, 12 companies have received electricity generation and distribution licences from the commission. They include CCETC Ogua Energy Limited, GTL Power Limited, IZ Energy, Etin Power Limited, Edo North Electricity Limited, Mid-Western Bulk Electricity Company Limited and Tetracore Power Company Limited. Others are Victoria Power and Infrastructure, New Hampshire Capital Limited, Hydra Energy Solutions Limited, Nigeria Bottling Company Limited and Halimatu Musa Hospital Limited. In addition, ESERC has granted BEDC Electricity Edo Limited a six-month provisional operating licence within the state’s electricity market, subject to regulatory compliance and the commission’s requirements on transparency, accountability and consumer protection. The government sees the growing number of licensed operators as an important step towards building a competitive electricity market capable of attracting investment, improving efficiency and expanding consumer choice. Alongside efforts to increase generation, the Ministry of Power is also addressing challenges associated with electricity metering and billing. Under the ongoing mass metering programme, more than 30,000 meters have reportedly been deployed, while over 38,000 meters were allocated to Edo State under the first phase of the free metering initiative. The government is also pursuing the establishment of a meter assembly facility through a private-sector partnership. The initiative is expected to strengthen local capacity for meter production, improve availability and support the expansion of metering infrastructure. Another intervention is the debulking programme, which seeks to move communities away from bulk electricity billing to individual customer accounts. The initiative is expected to promote transparency in electricity billing, improve accountability and ensure that consumers pay for their actual electricity consumption. Renewable energy is also emerging as an important component of Edo State’s electricity development strategy, particularly in underserved and rural communities. Among the notable interventions is the inauguration of a 61-kilowatt-peak solar mini-grid by Okomu Oil Palm Company Plc in Gbelebu community. The installation is supported by a 50kW inverter and a 154kWh battery storage system. Similarly, RABUS Renewable Energies Limited inaugurated a 3.5kW solar power system at the Irrua Specialist Teaching Hospital Annex in Igueben in July 2026. The projects demonstrate the growing role of private-sector participation in extending electricity access to communities and public institutions that may not be adequately served by the conventional grid. The ministry is also undertaking further assessments in underserved communities to identify opportunities for additional renewable energy investments. Beyond electricity generation and distribution, the Ministry of Power is seeking to connect energy development with broader economic and social priorities. Through the P-HEART initiative, the ministry has partnered with the University of Benin and the National Centre for Energy and Environment to explore how improved electricity access can support healthcare, education, agriculture, rural development and transportation. The initiative also incorporates plans for an electric mobility and tricycle manufacturing and assembly facility through partnerships with investors from the United States and China. The proposed facility is expected to promote technology transfer, encourage local manufacturing and create employment opportunities while supporting the development of cleaner transportation solutions. As the Okpebholo administration approaches its second anniversary and Usenbo completes his first year as commissioner, attention is increasingly shifting towards translating the reforms and investment agreements into measurable improvements in electricity supply. The ministry’s immediate priorities include accelerating licensed generation projects, expanding the mass metering programme, establishing the Edo State Meter Assembly Point and incorporating Edo State Power Holding Plc to manage the state’s equity interests in electricity investments. The proposed holding company is expected to provide an institutional framework for managing government investments in the electricity sector and safeguarding the state’s commercial interests in emerging power projects. While the reforms have created new opportunities for private-sector participation and positioned Edo as an emerging player in Nigeria’s evolving electricity market, the real measure of success will ultimately depend on implementation. The proposed generation projects must translate into additional electricity capacity, distribution infrastructure must become more efficient, and households and businesses must experience more reliable power supply. For the Okpebholo administration, the next phase will therefore be critical: moving beyond regulatory changes, investment announcements and project launches to deliver tangible improvements in electricity access, affordability and reliability across Edo State.