Osun State Breaks New Ground with Electricity Market Law, Ushering in a New Era of Energy Independence

Osun State Breaks New Ground with Electricity Market Law, Ushering in a New Era of Energy Independence

In a landmark move set to revolutionise energy access across Osun State, the State House of Assembly has officially passed a new Electricity Market Law — a transformative piece of legislation championed by Governor Ademola Adeleke to address the state’s long-standing electricity challenges.

The passage of the law marks a strategic shift away from overdependence on Nigeria’s often unreliable national grid. It opens the door for a dynamic, decentralised electricity market that empowers local innovation, private sector participation, and sustainable energy development.

Under the new law, Osun State now has full legal authority to generate, transmit, and distribute electricity independently. This includes allowing multiple sources of energy generation beyond the national grid, including solar, hydro, wind, biomass, and other renewable and alternative sources.

“This law is a game-changer for Osun,” Governor Adeleke said during a media briefing. “For years, our communities have been stifled by poor electricity supply. With this bold step, we are taking our energy destiny into our own hands and creating the framework for reliable, clean, and inclusive power supply across our state.”

One of the most significant components of the Electricity Market Law is the green light for independent power producers (IPPs) to operate within the state, enabling private companies and community-based developers to build and manage mini-grids, embedded generation systems, and off-grid solutions. This means that remote communities, schools, hospitals, farms, markets, and small businesses can now access steady power without relying on the national grid.

Experts describe the new framework as a major economic enabler for Osun’s rural and urban populations. With enhanced access to electricity, the productivity of small and medium-scale enterprises is expected to rise, agro-processing can flourish, and critical public services such as water supply, education, and health care will function more efficiently.

Beyond economic growth, the law also promotes clean energy adoption and environmental sustainability. By prioritising renewable sources, Osun is aligning itself with global efforts to combat climate change and build energy resilience.

The legislative breakthrough comes on the heels of recent national constitutional reforms that devolved electricity regulation to subnational governments, allowing states to independently manage power affairs within their jurisdictions.

Speaking on the implications of the law, Osun State House of Assembly Speaker, Rt. Hon. Adewale Egbedun, said: “This is not just about power; it is about empowering lives and communities. We have laid the legal foundation, and now it is time for collaboration between government, investors, and local communities to build a new energy future for Osun.”

Already, stakeholders across the energy sector have expressed keen interest in the state’s emerging electricity market, with several companies reportedly exploring investment opportunities for solar farms, hydro power stations, and mini-grid deployments in underserved areas.

Governor Adeleke’s administration has pledged to follow up the new legislation with an executive framework for implementation, including the establishment of a State Electricity Regulatory Bureau to oversee licensing, compliance, and service standards.

For the people of Osun, who have long endured erratic power supply, the Electricity Market Law signals hope — and a path toward light at the end of the tunnel.

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