Nigeria is overhauling its electricity sector with new regulations that make it easier for homes and businesses to generate and sell surplus power. Under the new rules, individuals and businesses can generate up to 100 kilowatts of electricity and sell any surplus simply by registering with the government. Previously, they would have had to apply for and secure a formal license. The reforms build on the 2023 Electricity Act, which gave states greater authority over electricity markets and licensing. The changes aim to address chronic power shortages that have left roughly 85 million Nigerians without reliable electricity. Despite 15,000 MW of installed capacity, the country generates under 5,000 MW, far less than is required. The reforms are backed by more than $830 million in World Bank and International Finance Corporation funding, part of a broader push to unlock over $1 billion in private investment for decentralized energy.
African Business