The answer is provided under Section 77 of the Electric Power sector Reform Act, 2005. But, firstly, it needs to be recalled that traditionally almost every piece and square meter of land used to be fully and completely owned, legally or in equity, by some person or persons, families and communities. That got a bit watered down by the entry of the Land Use Act regime in 1978, whereby, as enunciated by the Supreme Court in the case of Nkwocha V. The Gov. Of Anambra State (1984) SCNLR 634 what is left for the person or persons, families and communities is now only beneficial Right of Occupancy (C of O) as the full title now vests in the State Governor who holds same in trust for and on behalf of the entire people of the State. It then was held to be that the only title citizens have over the land is the one of mere right to use, and no more. Notwithstanding, same Supreme Court did later in Salami V. Oke (1987) 4 NWLR (Pt. 63) 1 seemed to desire to let be known that C of O should be accorded recognition as meaning no less than “possessory right in land” which, without any intervention by the State, means everything that ownership of land means.
This means, in all practical essence, the owner still has the right to use the land, rent or lease it, sell and convey it, mortgage it, gift it out as he may wish to do. And when his rights are revoked, he is still recognized as the one to deal with, including payment of compensation, even if it is not the land that is paid for, but crops, economic trees, improvements and the unexhausted developments on the land. So we see, in that Section 77 of the Electric Power Sector Reform Act, 2005, that it is required of such electricity power Licensee/operator to apply to the Commission (that is NERC) which will, working together with the State Ministry of Lands (& Surveys) to scrutinize the request for the land, examine the stated reason for which the land is needed, and if satisfied, make a declaration that the land is needed for ‘public purpose’ or ‘overriding public interest’.
The Commission notifies the President who publishes and Gazettes the need of the land for the electricity purpose and notifies the Governor of the fact of that particular land being needed. Armed with this the Governor is enabled to revoke the rights of the owner(s) of the earmarked land under the compulsory acquisition powers conferred on the Governor by section 28 of the Land Use Act, and allocate same to the Electric Power Sector operator after the requirements of Sections 29 and 44 of the Land Use Act, and Section 44 of the CFRN, 1999 (as amended) must have been met.