Section 62: Licensing requirement: fines and penalties.

(1) No person, except in accordance with a licence issued pursuant to this Act or deemed to have been issued under section 98(2), shall construct, own or operate an undertaking other than an undertaking specified in subsection (2) of this section, or in any way engage in the business of :
(a) electricity generation, excluding captive generation;
(b) electricity transmission;
(c) system operation ;
(d) electricity distribution; or
(e) trading in electricity.
(2) Notwithstanding subsection (1) of this section, a person may construct, own or operate an undertaking for generating electricity not exceeding 1 megawatt (MW) in aggregate at a site or an undertaking for distribution for electricity with a capacity not exceeding 100 kilowatts (KW) in aggregate at a site, or such other capacity as the Commission may determine from time to time, without a licence.
(3) The Commission may issue an interim licence for any or all of the activities specified in subsection (1) of this section to any person as specified under the Act for a period not exceeding eighteen months, or such shorter period as may be specified in this Act, if it determines that it is necessary in the public interest to do so.
(4) The Commission shall have the power to resolve disputes as to whether a person is engaging, or is about to engage in a business for which a licence is required under subsection (1) of this section.
(5) Any person who contravenes subsection (1) of this section commits an offence and is liable on conviction to a fine not exceeding five hundred thousand Naira or to imprisonment for a period not exceeding two years or to both such fine and imprisonment.
(6) The Commission shall have the authority to order any person who contravenes subsection (1) of this section to cease his operations, and to make such other orders, including an order to another licensee to disconnect facilities, as may be necessary to prevent the continuation or reoccurrence of the contravention.
(7) The Commission shall have the authority to penalise a licensee for violations of his licence terms and conditions or to cancel such licence in accordance with the provisions of this Act.