The Nigerian Electricity Regulatory Commission (NERC) has started enforcing the Net Billing 2026 Regulations, which permits eligible consumers with alternative electricity production outfits & renewable energy systems (especially solar), to use their generation and sell surplus power to Distribution Companies (DisCos).
The rules target medium and large-scale consumers by setting a minimum system size of 50 kilowatt-peak (kWp) and a maximum of 1.5 megawatt-peak (MWp). Participating consumers, called “prosumers,” will use their on-site generation first; any excess is exported to the grid and measured with bidirectional meters. Exported energy will be credited using tariffs approved by NERC.
To join, consumers must be connected to a distribution licensee’s network, meet technical and regulatory standards, obtain the distribution company’s approval, sign a net billing agreement, and register with NERC. Interested parties must apply for a technical feasibility assessment; approved participants will receive the required bidirectional metering.
NERC says the framework aims to speed up renewable energy adoption, attract private investment in generation, boost energy security and reliability, reduce greenhouse gas emissions, and integrate distributed renewable systems into the distribution network. The policy is expected to help factories, malls, universities, hospitals, telecom sites, and other large commercial or industrial consumers monetize surplus solar generation and ease pressure on Nigeria’s strained grid infrastructure.
