12 November 2013, Abuja – The Federal Government has began the process of reviewing the Market Rules that will guide the privatised electricity sector operations, ahead of the declaration the Transition Electricity Market, TEM, by March next year.
Chairman of the Nigerian Electricity Regulatory Commission, NERC, Dr. Sam Amadi, disclosed at a workshop organised for the review of the Market Rule in Abuja that the Interim Rule for the current Interim Market operations is still being reviewed in collaboration with the new investors.
Amadi noted that while the Market Rule is being reviewed for possible amendment following a change in the power sector operations, the interim rule has been drafted and would soon be ready to guide the new investors during the ongoing interim and market testing period.
In his remark, the Minister of Power, Prof. Chinedu Nebo, who was represented by his Senior Special Assistant, Prof. Chidiebere Onyia said, “there are certain things that we are trying to ensure that they are put in place before the declaration of TEM.”
According to him, “this is one of those things that should be in place before the commission, NERC, can advise the Minister to declare TEM. Right now we are looking at the 1st of March, 2014.
He said the review of the interim rule will guide the new owners in the current interim operation, adding, “I am happy that the Interim Rule is being reviewed, but more importantly with the contributions of stakeholders and all of you here.”
Speaking earlier, the Chairman of the Initial Stakeholders Advisory Panel, ISAP, and Director General of the Nigerian Bulk Electricity Trader, NBET, Mr Rumundaka Wonodi, stated that the panel commenced a holistic review of the Market Rule in July 2012, in anticipation of TEM in collaboration with all the stakeholders.
Wonodi noted that the previous Market Rule was based on public sector TEM, adding that the erstwhile privatisation and handover was deemed for the medium market which is no longer the case, hence the need for amendment of the MR to reflect current realities.