The Nigerian Electricity Regulatory Commission (NERC) has unbundled the Transmission Company of Nigeria (TCN) and ordered it to transfer all market and system operation functions to the newly established Nigerian Independent System Operator of Nigeria Limited (NISO).
The commission disclosed this in a circular dated April 30, 2024.
The circular was however made available to journalists on Friday.
NERC had previously issued transmission service provider (TSP) and system operations (SO) licences to TCN in accordance with the Electric Power Sector Reform Act (EPSRA).
However, the Electricity Act 2023, which came into effect on June 9, provided clearer guidelines for the incorporation and licensing of the independent system operator (ISO) as well as the transfer of assets and liabilities of TCN’s portion of the ISO.
In the circular, the commission ordered the Bureau of Public Enterprises (BPE) to incorporate a private company limited by shares under the Companies and Allied Matters Act (CAMA) by May 31.
The company, according to NERC, is expected “to carry out the market and system operation functions stipulated in the Electricity Act and the terms and conditions of the system operation licence issued to TCN.”
“The name of the company shall, subject to availability at Corporate Affairs Commission, be the Nigerian Independent System Operator of Nigeria Limited (“NISO”),” it added.
By: Babajide Okeowo
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