The Nigerian Senate has taken a significant step towards rescuing the country’s ailing power sector by approving the Electricity Act (Amendment) Bill, 2025, through second reading.
The bill, sponsored by Senator Enyinnaya Abaribe (Abia South), aimed to address regulatory gaps and overhaul the 2023 Electricity Act.
Leading the debate, Senator Abaribe, who chairs the Senate Committee on Power, warned that the country’s electricity industry is buckling under the weight of inefficiencies and financial mismanagement.
Abaribe said, “The current law, which contained minimal penalties for offenders, has not been fully operationalised, and lacks clarity on key regulatory provisions, especially regarding funding, labour rights in essential services and the role of state governments following recent constitutional reforms.
“Electricity is an essential service. No one should hold the country to ransom under the guise of a strike. We must remove ambiguities and make the law implementable,” he said.
The law maker also criticised the refusal of some electricity distribution companies to pay for power supplied, further compounding the sector’s instability.
He also noted that the Federal Government was currently indebted to the tune of over N4 trillion in the power sector, emphasising the need to remove ambiguities and make the law implementable, particularly regarding essential services like electricity.
While supporting the bill Senator Adamu Aliero expressed concern over continued federal expenditure on the privatised power sector.
Senator Aliero recommended capital punishment for saboteurs of national assets, citing the growing threat of vandalism.
Aliero criticised the financial burden still being carried by the government despite the privatization of generation and distribution companies (GenCos and DisCos).
His words: “We have privatised power, yet trillions of naira are still being spent on behalf of private companies.
”More importantly, the growing threat of vandalism must be addressed. Vandals are sabotaging national assets and should face capital punishment if necessary,” Aliero said.
The bill when passed would help to address criminalizsng electricity infrastructure vandalism, clarifying the transfer of regulatory power from NERC to state governments, enhancing the operationalisation of the Electricity Consumer Assistance Fund, strengthening penalties and institutional oversight among others.
The amendment has been referred to the Senate Committee on Power for further scrutiny and committee is expected to report back within six weeks.
Approval of the bill is a crucial step towards addressing the challenges facing the power sector and ensuring a more efficient and effective electricity supply in Nigeria.
