AKINWALE ABOLUWADE
The Federal Government has warned electricity generation companies (GenCos) that failure to comply with new regulatory directives could lead to their disconnection from the national grid.
Through the Nigerian Electricity Regulatory Commission (NERC), the government issued an order mandating all GenCos to implement Free Governor Control (FGC) across their generating units as part of efforts to curb the incessant collapse of the national grid. Non-compliance, the regulator warned, would attract stiff penalties, including disconnection.
The directive, contained in Order No. NERC/2025/094, was signed on August 26, 2025, by NERC Vice-Chairman, Musiliu Oseni, and Commissioner for Legal, Licensing & Compliance, Dafe Akpeneye. It takes effect on September 1, 2025.
FGC is a control mechanism that allows turbine or generator governors to automatically adjust power output in response to fluctuations in grid frequency. By doing so, generating units help stabilise the grid, balancing supply and demand in real time.
According to the order, any GenCo that fails to integrate and activate FGC on all generating units by November 30, 2025, will pay a penalty equal to 10 per cent of the invoice of the defaulting unit. Units that remain non-compliant for 90 consecutive days risk being disconnected entirely.
NERC said the measure was necessary to address persistent system disturbances, enforce the Grid Code, and strengthen the reliability of Nigeria’s power supply. The commission explained that the order provides a structured framework to enhance generation performance by enforcing operational frequency limits, deploying transparent monitoring, and penalising violations.
Citing its mandate under the Electricity Act 2023, NERC noted that Section 34(1)(e) empowers it to safeguard the safety, security, reliability, and quality of electricity supply, while Section 34(2)(b) authorises it to establish operating codes and standards for the Nigerian Electricity Supply Industry (NESI).
The regulator also reminded operators of their obligations under Section 12.6.2 of the Grid Code, which requires all generating units to be equipped with fast-acting governors capable of regulating turbine speed and adjusting output in response to frequency deviations.
“The FGC shall be sufficiently damped for both isolated and interconnected operations,” the order stated. “The primary control characteristics must be maintained under all operational conditions. Where a generating unit becomes isolated but remains available, it must still provide primary control to maintain frequency and voltage.”
