The House of Representatives on Thursday complex a invoice searching for to determine a Nationwide Authority for Renewable Power (NARE) because the foremost company answerable for regulating and selling renewable power building in Nigeria.
The Electrical energy Act (Modification) Invoice, 2025, backed by way of Afam Ogene (NDC, Anambra), representing Ogbaru Federal Constituency, used to be handed for 2nd studying following unanimous enhance by way of lawmakers.
Mr Ogene, who could also be Chairman of the Space Committee on Renewable Power, mentioned the proposed authority would deal with overlapping obligations amongst current establishments and supply a devoted regulatory framework for the renewable power sector.
Main the talk at the invoice, he mentioned renewable power purposes lately unfold around the Nigerian Electrical energy Regulatory Fee (NERC), Rural Electrification Company (REA) and Rural Electrification Fund (REF) could be transferred to NARE.
“This specialisation will toughen coordination, cut back institutional overlaps and supply targeted path for the efficient building of the renewable power sector,” Mr Ogene mentioned.
What NARE will do
Beneath the proposed regulation, NARE would keep an eye on and supervise renewable power actions whilst selling the advance of sun, wind, hydro, geothermal, biomass and hydrogen power.
The authority would even be answerable for selling mini-grid and off-grid electrical energy methods in rural, unserved and underserved communities, together with islands.
Mr Ogene mentioned the proposed company would additionally facilitate funding within the sector thru monetary and regulatory incentives geared toward encouraging native production, analysis, innovation and abilities building.
He mentioned the invoice would lend a hand Nigeria diversify its power assets whilst increasing get admission to to electrical energy past spaces coated by way of the nationwide grid.
“We should embody cutting edge, decentralised and renewable power answers that may succeed in communities and companies extra successfully,” he mentioned.
The proposed authority would even be empowered to deal with licensing, identify requirements, advertise honest price lists and supply mechanisms for resolving disputes inside the renewable power marketplace.
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The invoice additional supplies for collaboration between NARE, NERC and the Federal Ministry of Finance on grid integration and coverage coordination.
40% of rural electrification fund proposed for NARE
A key provision of the invoice proposes that 40 according to cent of the yearly finances to be had below the Rural Electrification Fund be allotted to NARE to finance renewable power building.
Mr Ogene mentioned the investment association would give you the proposed authority with assets to power renewable power tasks and make bigger electrical energy get admission to to communities that stay outdoor or poorly served by way of the nationwide grid.
The invoice additionally supplies for the switch of related team of workers, belongings and ongoing tasks from current establishments to the proposed authority.
Lawmakers due to this fact handed the invoice for 2nd studying and referred it to the related committee for additional legislative scrutiny.
Mr Ogene has in the past led the Space Committee on Renewable Power in engagements eager about Nigeria’s transition to cleaner power, together with participation at COP29 in Baku, Azerbaijan, in 2024 and COP30 in Brazil in 2025.
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