FG unbundles TCN, announces new system operator
The Nigerian Electricity Regulatory Commission (NERC) has unbundled the Transmission Company of Nigeria (TCN).
Against this background, it has established Nigerian Independent System Operator of Nigeria Limited (NISO).
The Commission has, therefore, ordered TCN to transfer all market and system operation functions to NISO.
NERC disclosed this in a circular dated April 30, 2024, and made available to newsmen at the weekend.
Earlier, NERC had 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.
NERC said the company 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 (“NISO”) of Nigeria Limited,” it added.
