Breaking: Federal Government Denies Sacking AEDC Management
- Media reports claiming that the management of Abuja Electricity Distribution Company (AEDC) was sacked has been denied
- The ministry of power in a statement on Wednesday, December 8, explained that the news has largely been communicated out of context
- According to the release signed by the minister of power, Abubakar Aliyu, AEDC has been facing significant operational challenges
The federal government through the ministry of power has reacted to media reports suggesting that the management of Abuja Electricity Distribution Company (AEDC) has been sacked.
A statement sent to Legit.ng on Wednesday, December 8, and signed by the minister of power, Abubakar Aliyu noted that the report was out of context.
Source: Facebook
Part of the statement read:
"The attention of the federal ministry of power has been drawn to publications in the print and electronic media relating to recent changes in the ownership structure and management at the Abuja Electricity Distribution Company Pic."
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While noting that the news has largely been communicated out of context, the ministry noted that the AEDC has, of recent, been facing significant operational challenges.
It said the dispute was as between the core investors (KANN consortium) as owners of 60% equity in AEDC and the UBA as lenders for the acquisition for the majority shareholding in the public utility.
The statement added:
"The situation has currently deteriorated due to lack of access to intervention finances leading to a point whereby legitimate entitlements of the staff are being owed thus leading to service disruptions on 6th December 2021 within its franchise area.
"The federal ministry of power has since taken the initiative to engage organised labour and electricity service has since been restored in the FCT and the states served by AEDC.
"The UBA, as a lender, and in exercising its rights over the shares of KANN Consortium in AEDC, has taken over the shares of the obligor in the AEDC.
"This takeover of the majority stake in AEDC by UBA has consequently led to the reported changes in the management of AEDC.
"The changes in shareholding in AEDC and the appointment of an interim management for AEDC by the shareholders has been endorsed by the Nigerian Electricity Regulatory Commission and the Bureau of Public Enterprisesas co-shareholders in AEDC."
Buhari sacks entire AEDC management over workers’ strike
This development ic coming a day after it was reported that presidency sacked the management of AEDC, following the strike action of members of the Nigerian Union of Electricity Employees (NUEE) which led to blackout in many parts of the Federal Capital Territory (FCT).
This stern decision was disclosed in a statement released on Tuesday, December 6, by Ofem Uket, media aide of the minister of state for power.
It was made known in the statement that President Muhammadu Buhari has approved a new interim governing board to oversee the daily operations of the AEDC.
Source: Legit.ng
