The Abia State government has now been empowered to regulate its own power/electricity market for distribution to residents, a sequel to the state governor, Dr. Alex Otti’s assent to the law enacted by the State House of Assembly.
While assenting to the passed Executive Bill yesterday, Governor Otti said that the law also provided for the executive arm of government to set up the Abia State Electricity Regulatory Authority (ASERA).
He said that the 64-page law, which would support the power initiatives of the government and stand the test of time, “would strengthen the plans of government to extend power to the rest of the eight LGAs of the state, having sealed the Aba Ring-Fence with Geometric Power Ltd, which covers only nine of the state’s LGAs.”
He also said that for the remaining eight local government areas in the state that are not under the Aba Ring-Fence, the government is working hard to bring them under the Umuahia Ring-Fence, adding that this law, which also touches on renewable energy, will protect the investment of everyone who wants to invest in Abia.
He added that while the law would support this initiative, the government is close to signing an MoU in that direction, promising protection to prospective investors in power generation.
He stressed, “Our dream is that if we are able to provide all the required power for Abia, we will also be able to wheel some power to other parts of the South East and South-South to support them and earn some income therefrom.”
Recalling the state’s journey towards enacting the law, the governor disclosed, “We started looking at the Electricity Bill from about the end of 2023, given that the law had already been passed at the national level by the former President Muhammadu Buhari-led administration.
“The simple reason being that Abia State is probably the only state that has a ring-fence area. And of course, there is embedded power left, right, and centre, with Aba Power as the only independent, integrated power, from generation through transmission to distribution.
“During my engagement with Geometric Power, they said that with the capacity they have, they are able to wheel power to Umuahia from the plant and maybe to some other parts of the Southeast without necessarily incurring additional costs other than getting a turbine and putting it in place because all the other infrastructure is already in place.”
The governor commended the State House of Assembly for the speedy but careful passage of the Executive Bill and appreciated the development partners for their input.
While presenting the bill for the governor’s assent, the Speaker of the Abia State House, Emmanuel Emeruwa, said that Abia State is on the right path with the Electricity Act, which he described as a milestone achievement and a big business investment for the state.
He added that the State House of Assembly understands the vision of the governor and his commitment to ensuring that he actualises his visions for the people of the state, including steady power.
Commenting on the law, the state Commissioner for Power and Public Utilities, Mr Ikechukwu Monday, said that Abia State leveraged the Electricity Act of 2023, which allows interested states in power/electricity to legislate on it.
According to him, Abia State considered what would work specifically in the state before coming up with the bill, adding that the bill provides for power generation mainstreaming, protection against vandalism, distribution, and regulations.
He added, “This law, which made provisions to encourage local participation and content, is an offshoot of the Electricity Act 2023 that empowered states to form a regulatory body to regulate and create an electricity market.”
