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LASERC flags MTN, others over unlicensed electricity operations in Lagos

The Lagos State Electricity Regulatory Commission has identified 38 companies operating in Lagos State that have failed to obtain the required licences or complete regulatory compliance processes despite repeated directives.

The affected firms—including MTN, Flour Mills, Golden Penny, First Global Commerce Solutions Limited, African Steel Mills Nigeria Limited, and Lekki Port LFTZ Enterprise Limited, collectively account for nearly 600 megawatts of generation capacity, according to The Punch.

LASERC stated that although the companies currently operate under permits issued by the former federal regulator, the Nigerian Electricity Regulatory Commission, they have yet to begin the mandatory licensing process required under Lagos State’s electricity regulatory framework.

The affected licensees span several permit categories, including captive power generation, embedded generation, independent electricity distribution network, isolated mini-grid, interconnected mini-grid, and off-grid generation licences.

These operations cover industrial, commercial, and distribution activities across multiple local government areas in Lagos State.

“This is to officially notify all concerned stakeholders and the general public that the underlisted 38 licensees are yet to apply to the Lagos State Electricity Regulatory Commission for the necessary licensing and regularisation in line with the regulatory requirements guiding electricity operations within Lagos State.

“Despite ongoing engagements, notifications, and directives issued by the Commission, the affected entities are yet to commence or complete the required application process for licensing with LASERC as mandated under the applicable laws and regulatory framework,” the commission said in a public notice on Sunday.

One of the largest operators on the list is First Global Commerce Solutions Limited, which holds a captive power generation permit for a 77-megawatt facility located at Railway Compound, Ebute-Meta. The plant is among the highest-capacity installations yet to complete the required regulatory regularisation.

Flour Mills Nigeria Plc ranks next with a 74.5MW captive power facility located at Golden Penny Place on Wharf Road, Apapa. Lekki Port LFTZ Enterprise Limited, based in the Lagos Free Trade Zone, Itoke Village, Ibeju-Lekki, is also listed for a 30MW installation.

Similarly, Irele Energy LFZ Enterprise, operating within the Lagos Free Trade Zone in Ibeju-Lekki, holds an embedded generation licence for a 50MW plant. It is listed alongside Geogrid Lightech Limited, which has a 30MW licence for a facility located at Cadbury Nigeria Limited on Lateef Jakande Road, Agidingbi, Lagos.

MTN Nigeria Communication Plc appears three times on the list, reflecting its multiple captive power installations across Lagos State. The company is cited for a 3.46MW plant at Apapa Switch, a 4.5MW facility at Ojota Switch Energy Centre 4, and a 5.4MW installation at Ojota Switch Energy Centre 5, all of which are yet to be regularised with LASERC.

Golden Penny Power Limited is listed on three separate counts, with a 32.4MW plant located at Plots 43, 45 and 46, Iganmu Industrial Estate in Surulere; a 26MW facility at the NPA premises in Tincan Island, Apapa; and a 57.2MW installation at 1 Golden Penny Place on Wharf Road, Apapa. Collectively, the company’s unregularised capacity exceeds 115MW.

Other firms named include African Steel Mills Nigeria Limited, with a 20MW facility at Plot 337, Ikorodu Industrial Estate, Odogunyan, Ikorodu; CHI Limited (14.60MW) at CHI Avenue, Ajao Estate; CCK Electric Power Technology Company Limited (8.8MW) at Alfred Garden Estate, Off Kudirat Abiola Way, Opebi, Ikeja; and Uraga Power Solutions Limited (30MW) at Honeywell Flour Mills Plc, NPA Premises, Apapa.

Tarkwa Bay Green Power Freezone Enterprise and Alaro Power Free Zone Enterprise each hold embedded generation licences of 24MW and 10MW respectively, while Contour Global Solutions Nigeria Limited and Daybreak Power Solutions Limited hold off-grid generation licences.

Daybreak Power Solutions Limited is listed twice, covering a 2MW plant in Ikeja and a 3.5MW facility in Badagry.

Among the Independent Electricity Distribution Network (IEDN) licence holders yet to complete regularisation are ABV Utility Limited, which serves Western Foreshore Estate, Suncity Estate, and Maben Terraces Maisonettes Estate in Lekki. Also listed is Alaro Connect Free Zone Enterprise, covering Alaro City, the Northwest Quadrant, and the Lekki–Epe Expressway corridor, as well as Igboya Power LFZ Enterprise, operating within the Lagos Free Trade Zone at Itoke Village, Ibeju-Lekki.

Others include IPL Distribution Company Limited, which supplies power to several Lagos State government facilities such as the General Hospital, Island Maternity Hospital, High Court, Magistrate Court, State House, and public street lighting. Ladol Integrated Logistics FZE Enterprise, located at the LADOL Free Zone in Apapa Port, is also on the list, alongside Zeta Technical Services Limited, which serves industrial clients including PZ Cussons Nigeria Plc, FrieslandCampina, and WAMCO Nigeria Plc in Ikorodu.

In the mini-grid category, A4&T Power Solutions Limited holds an interconnected mini-grid permit with a capacity of 880kW, supplying electricity to Odo-Ayan, Mojoda, and Ibowon communities in Epe. Solad Integrated Power Solutions Limited also features on the list with an isolated mini-grid permit for the Balogun Modern Market in Lagos, operating at 300kW.

LASERC warned that continued non-compliance could lead to sanctions or other enforcement actions as provided by law.

The commission reaffirmed its commitment to a transparent, efficient, and well-regulated electricity market in Lagos State, urging all 38 companies to complete their regularisation without further delay to avoid penalties and ensure continued lawful operations.

LASERC was established following the devolution of electricity regulatory powers to state governments under Nigeria’s 2023 Electricity Act, which empowers subnational authorities to regulate electricity generation, distribution, and retail within their respective jurisdictions.