Service Level Agreement (SLA) For Electricity Licensing In Nigeria
1. Introduction
This Service Level Agreement (SLA) establishes timelines, service standards, benchmarks, and performance commitments for processing and issuance of Electricity Generation, Transmission, and Distribution Licences. The SLA is designed to ensure transparency, efficiency, accountability, and predictability in licensing procedures.
2. Objectives of the SLA
- Provide clear timelines for licence processing
- Establish performance benchmarks for regulatory service delivery
- Enhance stakeholder confidence and transparency
- Promote efficiency and regulatory compliance
- Ensure consistency in licensing decisions
3. Scope
This SLA covers the processing of:
- Generation Licence Applications
- Transmission Licence Applications
- Distribution Licence Applications
- Licence Amendments, Renewals, and Transfers
4. General Licensing Principles
- Transparency and fairness
- Timeliness and efficiency
- Regulatory due diligence
- Compliance with applicable laws and technical standards
- Stakeholder consultation and public participation (where applicable)
5. Licensing Process Timelines and Benchmarks
5.1 Electricity Generation Licence SLA
| Process Stage | Service Description | Timeline | Performance Benchmark |
|---|---|---|---|
| Application Submission | Receipt of Application by the Commission | Immediate | Acknowledged copy of Applicant’s letter of submission |
| Application Completeness verification | Verify submitted applications meet requirements before formal review and assessment. | Within 10 Working Days | Letter for Notice of Newspaper Publication |
| National Newspaper Publication by Applicant | Publication of proposed project in two national dailies | 30 working days | Submit copies of publication to Commission |
| Stakeholder/Public Consultation (if required) | Publication and stakeholders’ input process | 21 Working Days from date of publication. | All comments reviewed and documented |
| Technical & Financial Evaluation | Assessment of technical, financial, environmental and safety compliance | 45 Working Days | Internal Evaluation report |
| Management Review | Internal regulatory decision review | 14 Working Days | Approval or Refusal of Application |
| Licence Approval/Refusal | Process decision and communication to applicant | 7 Working Days | Decision Communicated to Applicant |
| Payment of Fees | Payment of Statutory Fees by Applicant | NA | Receipt of payment Commission |
| Licence Issuance | Preparation and issuance of licence document | 10 Working Days | Licence delivered to applicant |
Total Indicative Timeline: 140 Working Days
5.2 Electricity Transmission Licence SLA
| Process Stage | Service Description | Timeline | Performance Benchmark |
|---|---|---|---|
| Application Acknowledgement | Confirmation of receipt | 3 Working Days | 100% compliance |
| National Newspaper Publication by Applicant | Publication of proposed project in two national dailies | 30 working days | Submit copies of publication to Commission |
| Documentation Review | Verification of technical network design and investment plans | 15 Working Days | 95% review accuracy |
| Technical and Grid Integration Assessment | Evaluation of system impact and reliability requirements | 60 Working Days | Compliance with grid standards |
| Stakeholder Consultation | Engagement with system operators and relevant stakeholders | 21 Working Days | Documentation of stakeholder feedback |
| Regulatory Decision Review | Internal review and approval | 14 Working Days | Decision documentation completed |
| Payment of Fees | Payment of Statutory Fees by Applicant | NA | Receipt of payment at Commission |
| Licence Issuance | Final issuance of licence | 10 Working Days | Licence delivered |
Total Indicative Timeline: 153 Working Days
5.3 Electricity Distribution Licence SLA
| Process Stage | Service Description | Timeline | Performance Benchmark |
|---|---|---|---|
| Application Receipt & Acknowledgement | Confirmation of submission | 3 Working Days | 100% compliance |
| National Newspaper Publication by Applicant | Publication of proposed project in two national dailies | 30 working days | Submit copies of publication to Commission |
| Documentation & Due Diligence Review | Assessment of network design, customer service plan, and investment proposal | 20 Working Days | 95% compliance accuracy |
| Technical & Commercial Evaluation | Review of loss reduction strategy, service quality plan, and operational readiness | 45 Working Days | Compliance with regulatory standards |
| Public Consultation | Stakeholder and consumer consultation process | 21 Working Days | Public input documented |
| Management Review | Regulatory internal review and approval | 14 Working Days | Decision prepared |
| Payment of Fees | Payment of Statutory Fees by Applicant | NA | Receipt of payment at Commission |
| Licence Issuance | Final licence issuance | 10 Working Days | Licence issued to applicant |
Total Indicative Timeline: 143 Working Days
6. SLA FOR LICENCE AMENDMENT, RENEWAL AND TRANSFER
| Licence Service Type | Timeline | Benchmark |
|---|---|---|
| Licence Amendment | 90 Working Days | 95% processed within timeline |
| Licence Renewal | 90 Working Days | 95% compliance |
| Licence Transfer | 60 Working Days | Due diligence fully completed |
7. Applicant Responsibilities
- Submit complete and accurate documentation
- Provide additional information promptly when requested
- Comply with regulatory standards and requirements
- Pay applicable licensing fees within stipulated timelines
8. Regulatory Authority Responsibilities
- Provide clear licensing guidelines
- Maintain transparent communication with applicants
- Conduct fair and objective assessments
- Provide timely updates on application status
- Issue decisions within SLA timelines
9. Monitoring and Performance Measurement
- Percentage of applications processed within SLA timelines
- Number of incomplete applications received
- Stakeholder satisfaction feedback
- Compliance with regulatory standards
10. Escalation Mechanism
- Applicant may submit formal inquiry to Licensing Division
- Escalation to Director/Head of Licensing
- Escalation to Commission Management
11. Force Majeure
- Natural disasters
- Legal injunctions
- National emergencies
- Major policy or legislative changes
12. Review of SLA
- Two (2) years; or
- As may be required by regulatory or legislative changes
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