The Lagos State Electricity Regulatory Commission (LASERC) has disclosed that 38 companies operating power generation facilities across Lagos State have yet to obtain the licences and regularisation approvals required under the state's electricity regulatory framework.
According to the commission, the affected companies collectively operate facilities with a combined generation capacity of nearly 600 megawatts (MW), despite repeated directives requiring them to comply with Lagos State's licensing regulations.
The firms named by LASERC include MTN Nigeria Communications Plc, Flour Mills Nigeria Plc, Golden Penny Power Limited, First Global Commerce Solutions Limited, African Steel Mills Nigeria Limited, Lekki Port LFTZ Enterprise Limited, and several other industrial and commercial operators.
LASERC explained that many of the companies were originally licensed under the federal regulatory regime overseen by the Nigerian Electricity Regulatory Commission (NERC).
However, following the implementation of the Electricity Act 2023 and the transfer of certain regulatory powers to states, operators in Lagos are now required to undergo a fresh licensing and regularisation process with the state regulator.
Among the largest facilities identified is a 77MW captive power plant operated by First Global Commerce Solutions Limited in Ebute-Meta.
Flour Mills Nigeria Plc was also listed for a 74.5MW captive generation facility in Apapa, while Golden Penny Power Limited was cited for multiple facilities with a combined capacity exceeding 115MW.
MTN Nigeria appeared three times on the commission's list, reflecting several captive power installations across Lagos.
The telecommunications company operates facilities at Apapa and Ojota with a combined capacity of approximately 13.36MW, which LASERC says have not yet been regularised under the state framework.
The commission clarified that the issue is not that the companies are generating electricity illegally, but that they have not completed the mandatory transition and licensing process required under Lagos State's electricity regulations.
Several of the operators had previously received permits from NERC for captive, off-grid, mini-grid, and embedded generation projects.
In a public notice, LASERC stated that despite ongoing engagements and compliance directives, the affected entities have not commenced or completed the required application process.
The regulator warned that continued non-compliance could attract sanctions and enforcement actions as provided by law.
The development highlights the ongoing transition in Nigeria's electricity sector following constitutional and legislative reforms that granted states greater authority to regulate electricity generation, distribution, and retail activities within their territories.
Lagos has been among the states taking active steps to establish an independent electricity market and strengthen oversight of operators within its jurisdiction.
Industry observers say the compliance exercise is expected to shape the future of Lagos' electricity market as state authorities seek to improve regulatory coordination, ensure operational transparency, and expand power generation capacity to meet growing demand.