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This is one of the so many evils in the Nigerian constitution and up to now, no one has moved a motion to rectify it. States are being incapacited to provide power because of that law. How can state used the resources meant for its people to generate electricity and at the end of the day transmit the generated electricity to the national grid to be enjoyed by other states whose resources were not used for the venture? At the end of the day, the state that generated the electricity may enjoy little or nothing even though its resources were used for it. There are many states that can provide 24hrs electricity for their people but the constitution is stifling such ability.

Before, it was 10mw. But I think it has been decentralized now

I'm here to learn

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Firstly, off grids and mini grids generations are allowed.

Second, and most importantly, connection to the national grid does no tmeant the power generated will be evacuated to others states like some posters think. Power generated are consumed on the spot and since power can not really be stored, excess will then be evacuated via the national grid. Otherwise the plant will have to be shut down!

Also if you off the national grid, if there is plant shut down for any reason, how do you get power?

Beachside:
I know all about the fact all generated electricity goes to the national grid , but is that applicable to private industrial generators? if no, what's the difference between generator and power plant electricity generation? The law itself makes no sense . Nigeria may never develop without true federalism. All towns,cities and /or states should have liberty to generate own electricity.

Generators are allowed. Some Gencos have been adding 1 megawatt generators to boost their output for some years now

Lagos IPP situated in Marina powers the State House, General Hospital and some State projects around Marina including the street-lights. This was achieved during Fashola's tenure.

Initially, it was not allowed but IPPs were done by Tinubu around Ikeja (alongside Enron) and Odili around Omoku (alongside Rockson Engineering).

Delta State IPP situated at Oghara (Ibori's hometown) by Uduaghan without any provision for gas supply has been abandoned after over N200bn spent and the incumbent governor Okowa has categorically stated he can not continue the project. Recall he was the SSG to Uduaghan.

Former Gov. Gbenga Daniels of Ogun State spent billions on his own IPP conceived to power the State Secretariat and environs. Nothing came out of it during his 8years reign.

In summary, most State govt sees it as another avenue to loot thus deliberately put out the wrong narrative of national grid.

Interesting read.