Nigeria House of Representatives advances bill to create renewable energy authority

The Nigerian House of Representatives has passed the second reading of the Electricity Act (Amendment) Bill, 2025. The legislation proposes the creation of the National Authority for Renewable Energy (NARE) to centralize and coordinate the country’s clean energy development.

Sponsored by Afam Victor Ogene, Chairman of the House Committee on Renewable Energy, the bill aims to consolidate responsibilities currently distributed among the Nigerian Electricity Regulatory Commission, the Rural Electrification Agency, and the Rural Electrification Fund. By centralizing these functions, the authority seeks to reduce regulatory duplication and accelerate the deployment of solar, wind, hydro, biomass, geothermal, and hydrogen technologies.

A key component of the proposal is the allocation of 40 per cent of the Rural Electrification Fund’s annual resources to NARE to finance renewable projects. The authority is intended to prioritize decentralized solutions, such as mini-grids and off-grid systems, to improve electricity access in rural and underserved communities where the national grid is limited. Additionally, the bill aims to attract investment in local manufacturing and research to support the growth of the renewable energy sector.