From Rotimi Asher, Lagos
Lagos State Electricity Regulatory Commission ,LASERC, has revealed plans to commence the pilot rollout of 24/7 electricity franchise zones across Lagos by October 2026 as part of efforts to transform the state’s electricity market.
The disclosure was made by the Commission’s Chief Executive Officer, Temitope George, during the commission’s maiden stakeholder engagement at The Cordis Hotel on Thursday.
The initiative forms part of LASERC’s Short-Term Regulatory Agenda, which outlines strategic milestones aimed at repositioning Lagos’ electricity market for efficiency, innovation, and reliability through 2030.
According to LASERC’s regulatory roadmap, the Commission plans to commission the first two or three Lagos 24/7 electricity franchise areas by October 2026, a major step toward piloting dedicated districts with round-the-clock power supply.
While specific locations have not yet been announced, the franchise zones are expected to improve electricity reliability, infrastructure management, and customer service while serving as test cases for broader market reforms.
The Commission planned to issue Grid Interface Guidelines by July 2026 to regulate collaboration between Lagos electricity licensees and federal electricity institutions.
LASERC will commence a 100% grid and customer metering initiative by July 2026 to improve billing transparency and reduce estimated billing.
These pilot franchise zones will help LASERC test the operational and commercial viability of its long-term electricity reform agenda.
The rollout is expected to mark the beginning of a more structured and performance-driven electricity market in Lagos.
A key component of LASERC’s reform programme is the Electric Eye of Lagos ,EEL, Programme, an AI-enhanced advanced metering infrastructure aimed at delivering real-time visibility into electricity trading and power delivery. The framework design is expected by August 2026, with pilot deployment scheduled for October 2026.
Consumer complaints centres will open first in Amuwo Odofin by August 2026, followed by Ikorodu and Epe by September.
Draft Market Rules will be released by October 2026, with final rules expected by December 2026.
Regulatory Sandbox Guidelines are also planned to encourage private-sector innovation and market participation.
By 2030, LASERC aims to reduce market losses below 10% and achieve over 97.5% electricity availability across Lagos.
Babajide Sanwo-Olu approved the constitution of LASERC in 2024 following the signing of the Lagos Electricity Bill 2024 into law, creating the regulatory framework for the state’s independent electricity market.
The law replaced the Lagos State Power Sector Reform Law of 2018 and established LASERC to regulate generation, distribution, and tariffs.
In March 2026, Governor Sanwo-Olu formally inaugurated the board of LASERC, marking the point at which the commission fully commenced operational leadership to drive electricity market reforms in the state.
The Federal Government’s 2023 approval allowed Nigerian states to generate and distribute electricity independently.
The Lagos Electricity Bill also created the Lagos State Electrification Agency to promote off-grid electricity access.
Additional structures, such as the Lagos Electrification Fund, Independent System Operator, and Power Enforcement Unit, were introduced.
These reforms laid the institutional foundation for Lagos to pursue energy independence and more reliable electricity supply.
In April 2026, the Lagos State Government signed Power Purchase Agreements and concession deals with three independent power producers to expand generation capacity from less than 60MW to between 200MW and 400MW over the next few years.
Agreements were signed with Mainland Power Limited, Fenchurch Power Limited in partnership with Aggregate Utilities Limited, and Viathan Engineering Limited.
Legacy “take-or-pay” and “deemed energy” payment models were eliminated in favor of metered electricity delivery.
Dual power supply systems are being introduced for critical infrastructure to improve reliability.
These agreements are expected to significantly strengthen Lagos’ electricity generation base while improving transparency, accountability, and long-term market sustainability
Related