By: Tijani Salako.

The Nigerian Electricity Regulatory Commission has announced the commencement of the Net Billing Regulations 2026 aimed at encouraging electricity consumers to generate electricity through renewable energy sources and supply excess power to the national grid.

This was obtained from the official X handle of the NERC, where the commission disclosed that the new regulation establishes a framework for eligible electricity customers, also known as “prosumers,” to generate electricity primarily through solar photovoltaic systems for personal consumption while exporting surplus energy to distribution networks under a net billing arrangement.

The commission stated that the regulation was introduced to promote the adoption of renewable energy technologies, improve energy security and reliability, encourage private sector participation in distributed electricity generation, reduce greenhouse gas emissions, and support the efficient integration of renewable energy systems into distribution networks.

Under the new framework, eligible customers are required to be connected to a distribution company’s network and install renewable energy systems that comply with approved technical and regulatory standards.

NERC explained that participating renewable energy systems must have a minimum installed capacity of 50 kilowatt peak and a maximum of 1.5 megawatt peak.

The commission further noted that interested customers would be required to obtain approval from their respective distribution companies after undergoing technical feasibility assessments before signing a Net Billing Agreement and registering with the commission.

According to the regulation, approved participants will be provided with bidirectional net meters capable of measuring electricity imported from and exported to the distribution network, while exported energy will be credited based on tariffs approved by the commission.

The development follows months of stakeholder consultations by the commission on the proposed net billing framework as part of efforts to deepen renewable energy penetration and improve electricity access across the country.

NERC added that the initiative aligns with the provisions of the Electricity Act 2023, which empowers the commission to develop policies that support cleaner and more sustainable energy solutions in Nigeria’s electricity sector.

The commission advised interested customers and stakeholders to access the full Net Billing Regulations 2026 on its official website for further details.