The Nigerian Electricity Regulatory Commission (NERC) says Nigerians can now sell surplus energy to the grid under the “Net Billing Arrangement.”

The commission made this disclosure in a statement issued on Wednesday.

It notified “electricity consumers, distribution companies, renewable energy developers, commercial and industrial customers, and the general public of the commencement of the Net Billing Regulations 2026.”

The commission added, “the Regulations establish a framework that enables eligible electricity customers (Prosumers) to generate electricity from renewable energy sources, primarily solar photovoltaic systems, for their own consumption and export surplus energy to the distribution network under a Net Billing Arrangement.”

Some objectives of the Net Billing Regulations 2026 include promoting the adoption of renewable energy technologies, enhancing energy security and reliability for electricity consumers, encouraging private sector participation in distributed generation, supporting the reduction of greenhouse gas emissions, and facilitating efficient integration of renewable energy systems into distribution networks.

To participate in the Net Billing Scheme, customers must be connected to a Distribution Licensee’s network, install renewable energy systems that comply with applicable technical standards and regulatory requirements.

Additionally, customers need to have a Renewable Energy System (RES) with minimum installed capacity of 50 kilowatt peak (kWp) and a maximum of 1.5 Megawatt peak (MWp), obtain approval from the relevant Distribution Licensee, and execute a Net Billing Agreement and register with the Commission.

The NERC added that “interested customers are required to apply to their Distribution Licensee for a technical feasibility assessment. Upon approval and execution of a Net Billing Agreement, the applicant shall register with NERC in accordance with the provisions of the Regulations.

“Approved participants shall be provided with appropriate bidirectional net metering facilities to measure electricity imported from and exported to the distribution network. Exported energy shall be credited in accordance with the export tariff approved by the Commission.”