The Enugu Electricity Regulatory Commission (EERC) has issued the first electricity distribution licence in the state to Mainpower Electricity Distribution Limited (MPEDL), marking a major milestone in the ongoing restructuring of the power sector under the new subnational electricity market framework.
The licence, which grants Mainpower the authority to distribute electricity across Enugu State for the next 20 years, was formally presented during a ceremony at the Commission’s headquarters.
Speaking at the event, the Chairman and Chief Executive Officer of EERC, Chijioke Okonkwo, described the issuance of the licence as a historic step in the state’s electricity market reform.
“Today marks another important milestone as the Commission continues to exercise regulatory oversight over the electricity sector within the state,” Okonkwo said. “This is a historic occasion as we present the first distribution licence to a SubCo, Mainpower Electricity Distribution Limited, which has been established to take over the assets, liabilities, personnel and operations of EEDC in Enugu State.”
According to him, Mainpower becomes the first SubCo licensed to operate under the subnational electricity market arrangement provided by the Electricity Act 2023 and the Enugu State Electricity Law 2023.
He added that the reform process was driven by the vision of Peter Ndubuisi Mbah, Governor of Enugu State, whose administration introduced the state electricity policy and legal framework that paved the way for the new electricity market.
“The EERC assumed full regulatory oversight of the Enugu electricity sector in October 2024 with the mandate to drive the development of an efficient electricity market and ensure universal access to electricity to Ndi Enugu,” Okonkwo stated.
He explained that the state’s electricity market model encourages multiple players across the energy value chain, including generation companies, electricity retailers, metering firms and other service providers.
“Our electricity market is built on a willing buyer–willing seller, commercially viable structure guided by effective contracts such as bilateral agreements and power purchase agreements,” he said.
Okonkwo noted that the model will enable several generation companies to establish embedded generation facilities within the state and connect directly to distribution networks or electricity retailers to deliver reliable power to customers.
“As the dominant player in the Enugu State electricity market, a lot is expected of Mainpower,” he said, urging the company to expand its operations in line with the state’s electricity policy, open its network to other market participants and implement reforms that will improve service delivery.
He assured investors and industry players that the state remains open for energy business.
“Our commitment to support your business should not be in doubt so long as Mainpower remains committed to meeting the expectations of Ndi Enugu. Your success is our success,” Okonkwo added.
Earlier, the Managing Director of Mainpower, Ernest Raphael Mupwaya, described the licence as a major milestone for the company and the electricity sector in Enugu State.
“It is a great honour to stand before you today as MainPower Electricity Distribution Limited receives its operating licence from the Enugu Electricity Regulatory Commission,” Mupwaya said. “On behalf of the Board, Management and staff of MainPower, I sincerely thank the Commission for the confidence placed in us through the issuance of this licence.”
He said the development reflects Enugu State’s commitment to building a more efficient and sustainable electricity market under the new framework created by the Electricity Act.
“The success of any electricity market is ultimately determined by the performance of distribution companies,” he said. “While generators produce electricity and the transmission network moves bulk power, distribution companies are the critical link that delivers electricity to homes, businesses and industries.”
Mupwaya stressed that strong and efficient distribution companies are essential for stability and investment confidence in the power sector.
“At MainPower, we fully recognise this responsibility,” he said. “Our focus will be on improving network reliability, accelerating metering programmes to enhance transparency, strengthening revenue assurance and embracing digital transformation to improve operational efficiency.”
He also emphasised the company’s commitment to stronger engagement with electricity consumers.
“Electricity distribution is not only a technical business but also a service to communities,” he said.
Mupwaya added that reliable electricity remains critical for economic growth, noting that the reforms underway in Enugu State present a unique opportunity to build a distribution system capable of supporting industrial development and improving the quality of life of citizens.
“As we receive this operating licence, MainPower commits to working closely with the regulator, government and all stakeholders to build a sustainable, efficient and customer-focused electricity distribution company,” he said.
