NERC Issues Mini-Grid Regulation 2026 to Boost Electricity Access
The new regulation, titled NERC-R-001-2026, is designed to expand electricity access—particularly in unserved and underserved communities—while ensuring safety standards, consumer protection, and investment security within Nigeria’s power sector.
According to NERC, the regulation applies to two categories of mini-grids: isolated systems that operate independently of distribution company (DisCo) networks with a capacity of up to five megawatts (MW), and interconnected systems that are linked to existing distribution infrastructure, with a capacity of up to 10MW.
The framework covers key stakeholders, including developers, operators, distribution companies, and host communities, and aligns with the provisions of the Electricity Act 2023. It also accommodates the role of state-level regulators in the evolving electricity market.
Under the new rules, mini-grids with a capacity below 100 kilowatts (kW) are eligible for registration, while those exceeding 100kW must obtain a permit from NERC. The commission stated that permit applications will be processed within 30 business days.
In addition, operators are required to comply with reporting obligations. Mini-grids below 1MW must submit annual reports, while those above 1MW are mandated to file quarterly reports. NERC will conduct continuous monitoring and may publish sector-wide data to enhance transparency.
The commission noted that the regulation is aimed at accelerating rural electrification, attracting private sector investment, ensuring fair and cost-reflective tariffs, and strengthening coordination between mini-grid developers and distribution companies.
The introduction of the Mini-Grid Regulations 2026 marks a significant step in Nigeria’s efforts to close its electricity access gap and improve power supply reliability, particularly in remote and off-grid communities.
