Abia Deepens Power Sector Reform As ASERA Issues Interim Licences To Electricity Operators
Abia Deepens Power Sector Reform As ASERA Issues Interim Licences To Electricity Operators
Abia State Electricity Regulatory Authority (ASERA) on Friday, issued Interim Distribution and Generation Licences to three power firms, signalling the state’s full transition into an independently regulated intrastate electricity market.
The licences were issued to New Era Electricity Distribution Limited, APL Electric Company Limited and Geometric Power Aba Limited in exercise of powers conferred by Sections 16, 17, 44 and 64 of the Abia State Electricity Law, 2025.
The issuance of licences to the power firms follows the conclusion of the transition period on 24 December 2025, when ASERA formally assumed full regulatory oversight of intrastate electricity operations. The interim licences are intended to enable the operators commence regulated activities under ASERA’s framework, pending the issuance of full licences.
Speaking at the ceremony, held at the Ministry of Agriculture Premises Umuahia, the Chairman and Chief Executive Officer of ASERA, Mr. Emeka Onyegbule, noted that electricity is central to economic growth, industrial expansion and the welfare of the people.
Onyegbule pointed out that the Abia State government is building a power sector that is structured, disciplined and capable of delivering reliable service at scale adding that the reform process had moved beyond planning to implementation.
He urged the licensees to adhere strictly to the licence conditions and ensure transparency in operations, discipline in service delivery, and responsiveness to customers and warned that regulatory consequences will be applied where operators fall short.
“This is not ceremonial, it is decisive. We are no longer preparing for reform, we are executing it.
“The licenses being issued today are therefore instruments of responsibility. They confer not only authority, but obligation.
“The entities before us are not merely market participants, you are partners in delivering a critical public service and in shaping the credibility of this new market.
“Let me be clear. The era of regulatory ambiguity is behind us. The framework is established. The expectations are defined. Compliance is not optional
“We expect strict adherence to licence conditions, transparency in operations, discipline in service delivery, and responsiveness to customers. Where operators perform, they will be supported. Where they fall short, the regulatory consequences will be applied”, the ASERA Boss stated.
Onyegbule explained that the interim licences are transitional and will last about six months, adding that final licences would follow the conclusion of public consultations on regulatory frameworks.
He also disclosed that the state government is in advanced negotiations to conclude a takeover transaction involving Umuahia Ring fenced area from the Enugu Electricity Distribution Company (EEDC), which he said could be finalised before the end of the second quarter.
In his goodwill message, the Commissioner for Power and Public Utilities, Engr. Ikechukwu Monday, represented by the Special Adviser to the Governor on Energy, Engr. Kachy Etolue, described the development as “a significant milestone in the ongoing reform of the electricity sector in Abia State”.
The Commissioner stated that “the issuance of Interim Distribution and Generation Licences reflects the State Government’s firm commitment to translating policy into “practical outcomes that will drive economic growth and improve the quality of life for Abia citizens”.
According to him, with the enactment of the Abia State Electricity Law, 2025, and the conclusion of the transition period in December 2025, the state has assumed full responsibility for regulating its electricity market.
He urged licensees to operate with professionalism, discipline and a strong commitment to service delivery, stressing that the new framework presents both opportunities and responsibilities for all stakeholders to ensure the successful realisation of the reform objectives.
“The success of this initiative will depend on your ability to deliver reliable electricity, uphold regulatory standards and maintain the confidence of the public”, Engr. Monday stated.
Also speaking ASERA’s Executive Director, Legal and Regulatory, Barrister Iguwo Ukwu, outlined strict compliance expectations for operators, stressing that adherence to regulatory frameworks is mandatory.
He further emphasised the need for service reliability, transparency in billing, metering and customer engagement as well as accurate reporting, robust consumer protection mechanisms, noting that “customers are at the centre of the electricity market”.
“Licence conditions are binding, and adherence to all reporting, operational and technical requirements will be closely monitored. Non-compliance will attract appropriate regulatory sanctions”, he warned.
In an interview with journalists, the Managing Director and Chief Executive Officer of New Era Distribution Limited, Engr. Vincent Ekweku, described the licence issuance as the beginning of a more structured electricity market.
“From today, the regulation goes into full stream so that Abia State market can be better, which means now you can’t just do anything you want to do anymore because you are regulated,” Engr Ekweku said.
He added that strict adherence to regulatory provisions would ensure that “the Abia State market works seamlessly”.