Eko DisCo Threatens Mass Disconnection of Government MDAs Over N36bn Debts

Eko DisCo Threatens Mass Disconnection of Government MDAs Over N36bn Debts

  • Eko Electricity Distribution Company is about to take a tough stand on government MDAs owing the company
  • The CEO of the electricity firm recently disclosed to the minister of power that the government bodies were owing N36 billion in debt
  • On his part, the minister urged all stakeholders to collaborate to resolve power outage issues and improve service delivery

Legit.ng journalist Victor Enengedi has over a decade's experience covering Energy, MSMEs, Technology and the stock market.

The chief executive officer (CEO) of Eko Electricity Distribution Company (EKEDC), Tinuade Sanda, has disclosed that governmental ministries, departments, and agencies (MDAs) currently have an outstanding debt totalling N36 billion to the company.

Sanda emphasized that this amount contributes to the cumulative unpaid bills of customers over the past decade, which have reached an alarming figure of over N131 billion.

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MDAs on notice as unpaid bills hit N36bn
Sanda underscored the commitment of the company to collaborate closely with government agencies and consumers. Photo credit - EKEDC
Source: UGC

According to TheCable, these remarks were conveyed on Friday during a recent inspection of multiple power projects in Lagos by Adebayo Adelabu, the Minister of Power.

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This comes in light of a report from Legit.ng indicating that electricity consumers in Nigeria collectively owe electricity distribution companies (DisCos) a substantial sum of N343 billion.

EKEDC plan widespread disconnection of debtors

The CEO emphasized that EKEDC is prepared to take decisive action, including widespread disconnection of debtors, including government agencies, to address the issue of unpaid bills.

She said:

“We also use this medium to appeal to our customers to pay their bills for effective service delivery.
“The MDAs outstanding debts to date stood at over N36 billion."

Furthermore, Sanda underscored the company's commitment to collaborating closely with government agencies and consumers to safeguard power assets and mitigate vandalism within its operational sphere.

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FG's plan to generate more power

While inspecting the power projects, Adelabu conveyed the federal government's intention to elevate electricity generation to 6,500MW, citing the current capacity of 3,500 megawatts as insufficient.

He outlined a timeline of six months for achieving this augmentation.

Adelabu acknowledged the ongoing concerns regarding power outages and urged all stakeholders to collaborate to resolve these issues and improve service delivery.

He emphasized the government's commitment to prioritizing service provision for customers in higher billing brackets while gradually extending enhanced services to all segments through strategic infrastructure investments.

Recently, Legit.ng reported that the Abuja Electricity Distribution Company (AEDC) had sent a disconnection notice to the Presidential Villa and 85 other ministries, departments, and agencies belonging to federal and state governments.

In a swift response, President Bola Ahmed Tinubu instructed for the prompt settlement of the outstanding electricity bill owed to the AEDC.

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Minister orders DisCo to publish names of debtors

In related news, Legit.ng reported that the Minister of Power, Adebayo Adelabu, has urged the Benin Electricity Distribution Company (BEDC) to publicly disclose the names of individuals or entities who owe the company debts.

This directive was issued during a meeting between the minister and the BEDC management while inspecting power projects in Benin, the state capital.

Adelabu stated that disclosing the names of the company's debtors is justified since electricity supply comes at a cost and is not provided for free.

Source: Legit.ng

Authors:
Victor Enengedi avatar

Victor Enengedi (Business HOD) Victor Enengedi is a trained journalist with over a decade of experience in both print and online media platforms. He holds a degree in History and Diplomatic Studies from Olabisi Onabanjo University, Ogun State. An AFP-certified journalist, he functions as the Head of the Business Desk at Legit. He has also worked as Head of Editorial Operations at Nairametrics. He can be reached via victor.enengedi@corp.legit.ng and +2348063274521.