
The Nigerian Electricity Regulatory Commission has implemented new regulations to decrease electricity transmission losses and enhance transparency within the national grid. Order No. NERC/2026/026, effective from April 13, 2026, establishes a framework for reporting and monitoring Regional Transmission Loss Factors. Data from the Nigerian Independent System Operator showed a national average transmission loss factor of 8.71% in 2024, improving to 7.24% in 2025, though still above the 7% benchmark. The new order, supported by the Electricity Act 2023, mandates the Nigerian Independent System Operator to install smart meters at all regional interconnection boundary points by December 2026 for accurate energy flow measurement. NISO must also measure and document energy flow at power transformers in transmission substations and submit quarterly regional reports on transmission losses. The Transmission Company of Nigeria is required to submit an action plan by July 2026 to reduce losses to approved benchmarks, aiming for transmission losses across all regions not to exceed 6.5% by December 2026. This initiative seeks to improve overall grid performance, support fair pricing, and enhance regulatory oversight.
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This summary was AI-generated from a story originally published by Punch Nigeria.