The mass disconnection of historic debtors by all the distribution companies (Discos) to protest the huge unpaid electricity bills by this class of consumers may escalate Nigeria’s already deep crisis in the power sector.
This came as power generation at the weekend slumped further to 2,367 Mega Watts (MW), from about 4196 MW recorded last month. The new energy output level was recorded after the national grid rose from a system collapse that brought generation down to 104 MW last Thursday, according to statistics from the Transmission Company of Nigeria (TCN).
The Executive Director of the Association of Nigeria Electricity Distributors (ANED), Mr. Sunday Oduntan said member-companies had to carry out its threat when it became obvious that there was nothing on the table.
In his words, “For now, all historic debtors, including residential, commercial, industrial and government establishments across the three tiers of government would have to find alternative means of electricity supply until this debt issue is resolved.
“As at last calculation, government establishments, including the military and security agencies alone are owing the Discos some ₦93 billion. The figure comprises ₦39.1 billion pre-privatisation of electricity assets and ₦39.5 post-privatisation. Also thrown into the debt calculation is the outstanding interest of ₦15 billion which the Bulk Trader charges Discos for late payment of their electricity bills, a situation that occurred as a result of non-settlement of electricity bills as at when due,” he explained.
Oduntan stated that the operations of all Discos companies are hampered by huge indebtedness by these historic debtors.
“Government establishments, comprising ministries, departments, military formations, security agencies owe each distribution company as follows: Abuja DISCO, ₦18.6 billion; Eko DISCO, ₦8.6 billion; Kaduna, ₦8.2 billion; Enugu- ₦7.2 billion; Ibadan- ₦6.8 billion; Ikeja, ₦5.9 billion; Port Harcourt, ₦6.8 billion; Benin-₦5.8 billion; Jos-₦6.5 billion; Yola, ₦2.4 billion; and Kano, ₦1.2 billion.”
The DISCOs had two weeks ago given those they referred to as ‘historic debtors’ deadlines within which to pay their debts or have their electricity supply disconnected.