The Nigerian Electricity Regulatory Commission has issued an order mandating the registration and authorisation of privately owned transmission substations connected to the national grid, aiming to enhance regulatory oversight and boost grid reliability.

Outlined in the directive titled “Order on the Registration and Authorisation of Grid-Connected Private Transmission Substations (NERC/2026/013),” the regulation took effect on March 9, 2026.

NERC explained that the order is intended to ensure closer supervision of privately owned transmission assets linked to Nigeria’s electricity grid.

“The Nigerian Electricity Regulatory Commission has issued the Order on the Registration and Authorisation of Grid-Connected Private Transmission Substations (NERC/2026/013), effective 9 March 2026, to strengthen oversight of privately owned substations connected to Nigeria’s national grid,” the statement read.

NERC noted that the directive establishes a regulatory framework requiring owners of private substations supplying bulk electricity consumers to obtain authorisation before operating or connecting to the national grid.

“The order establishes a regulatory framework requiring owners of private transmission substations used by bulk electricity consumers to obtain an Independent Electricity Transmission Network Operator Permit before operating or connecting to the grid,” it stated.

The commission said the decision was prompted by concerns over grid stability and recurrent system disturbances reported by the Nigerian Independent System Operator.

“The directive was introduced to improve grid reliability, safety, and operational visibility following frequent transmission line trips reported by the Nigerian Independent System Operator,” the statement added.

The order requires the Nigerian Independent System Operator to submit a list of existing private transmission substation owners to the regulator and inform them of the new regulatory requirements.

“NISO must submit to NERC a comprehensive list of all existing private transmission substation owners and notify them of the provisions of the order within five days,” the commission stated.

The order also requires existing private substation owners to apply for permits within 45 days.

NERC clarified that new operators must secure the necessary authorisation before connecting to the national grid.

“New PTSOs must obtain the permit before connecting to the grid, as non-compliance attracts regulatory sanctions,” the order noted.

To enhance monitoring and operational visibility across the grid, the system operator is required to install advanced metering technology at the interconnection points of these facilities.

“NISO will deploy IoT-based metering systems at substation interconnection points within 120 days,” it stated.