Section 15 Electricity Act 2023
Section 15 of the Electricity Act 2023 is about Incorporation and licensing of the ISO. It is under Part IV (Incorporation and Licensing of ISO) of the Act.
(1) The Transmission Company of Nigeria Plc (in this Act referred to as “TCN”), being the successor company issued the license that covers transmission service provider, market and system operation functions under the Repealed Act shall in accordance with the terms of its license and within such stage or period of the market as the Commission may in a written directive specify, take such steps as are necessary under the Companies and Allied Matters Act, to incorporate an entity, the ISO which may be a company limited by shares or have such ownership and governance structure as the Commission may specify and the entity once incorporated under the provisions of this section shall immediately apply to the Commission and be licensed by the Commission as an ISO to perform such market and system operation functions as stipulated under this Act, its license and such terms and conditions as the Commission may direct.
(2) Upon incorporation and issuance of an ISO license by the Commission under subsection (1) —
(a) the TCN shall transfer to the ISO, all the assets and liabilities held by the Transmission Company of Nigeria Plc pertaining to its market and system operation functions and the shall be subject to such powers and duties of an ISO under the terms of its license and the provisions of this Act in relation to market and system operation;
(b) the TCN shall retain its transmission service provider license and shall be responsible for transmission assets and liabilities and perform such functions as are relevant to the development and maintenance of the power transmission infrastructure in accordance with the terms of its license as may be issued by the Commission are the provisions of this Act.
(c) the Commission shall, through an order put in place a clear plan and timeline for the transition process in subsections (1) and (2) to avoid disruption of industry operations.
