Constitutional Amendment (Fifth Alteration): What it Means for States of the Federation

Constituional Amendment

Legal Informer - Constitutional Amendment (Fifth Alteration): What it Means for States of the Federation

On 17 March 2023, the President of the Federal Republic assented to sixteen (16) constitutional alteration Bills. The alteration has effectively changed various constitutional provisions and the law as we know it. Constitutional Alteration Bill No. 33 altered the provision of Paragraph 14 of Part II of the Schedule II of the Constitution of the Federal Republic of Nigeria, 1999 as amended. Prior to the alteration, the Paragraph read thus,

A House of Assembly may make laws for the state with respect to
a. Electricity and the establishment in that State of electric power stations,
b. The generation, transmission and distribution of electricity to areas not covered by the national grid system within that State, and
c. The establishment within that State of any authority for the promotion and management of electric power stations established by the State.

Following the alteration, the Paragraph will now read thus,
A House of Assembly may make laws for the state with respect to
a. Electricity and the establishment in that State of electric power stations,
b. The generation, transmission and distribution of electricity to areas within that State, and
c. The establishment within that State of any authority for the promotion and management of electric power stations established by the State.

The Alteration Act deletes the words after areas, the words “not covered by the national grid
system”. This will allow states of the federation to individually generate, transmit and distribute electricity in areas already covered by the national grid within their respective states thereby expanding the legislative power of the State of Houses of Assembly.

It should be worth noting that on 20 July 2022, the Senate passed the Electricity Bill 2022 which seeks to repeal the Electricity and Power Reform Act of 2005 and enact the Electricity Act. One of the major provisions of the Bill is that the states of the federation will be empowered to make laws for the management and establishment of electric power stations.

The Bill also seeks to empower states to generate, transmit and distribute electricity in their
various jurisdiction. This Constitutional Alteration has laid the much-needed bedrock for the Electricity Bill to stand on once it is signed into an Act. The Electricity space in Nigeria will have more participation as investors will now participate at the federal and state level and set about
bringing unprecedented growth and development in the sector.

What do you think?