Nigeria’s power sector regulator, the Nigerian Electricity Regulatory Commission (NERC), says it has started implementing the Net Billing Regulations 2026, a policy move aimed at expanding the role of renewable generation in the grid. The regulator announced the commencement in a message shared on its official X account on Wednesday.
Under the framework, qualifying electricity users will be able to produce renewable power for their own needs and deliver any surplus electricity back into the national grid. NERC said the rules are intended to accelerate adoption of renewable energy technologies, strengthen energy security and reliability, promote greater private-sector involvement in electricity generation, cut greenhouse gas emissions, and enable renewable systems to be integrated into distribution networks.
NERC described participants in the programme as “prosumers,” reflecting their dual role as both producers and consumers of electricity. The scheme allows eligible customers to generate electricity using renewable sources—especially solar photovoltaic systems—consume what they need, and export excess output to their distribution companies through a net billing arrangement.
To take part, NERC said applicants must connect to a distribution company’s network and put in place renewable energy systems that satisfy the relevant technical and regulatory requirements. They must also secure approval from the relevant distribution licensee, enter into a Net Billing Agreement, and register with NERC.
The commission added that systems eligible for the programme must have a minimum installed capacity of 50 kilowatt peak (kWp) and a maximum capacity of 1.5 megawatt peak (MWp).
NERC said customers interested in joining should apply to their distribution companies to undergo a technical feasibility assessment. Those that meet the requirements will then execute a Net Billing Agreement before completing registration with the regulator.
