FG goes tough on electricity companies
The Federal Government has ordered the power companies to provide electricity to Nigerians or quit the stage for more serious players.
Babatunde Fashola, Minister of Power, Works and Housing, made the commitment at a news conference in Abuja on Monday.
The minister said that federal government will invest about N72 billion for the procurement and installation of equipment to assist in the distribution of unused 2,000 Megawatts (MW) of stranded electricity to consumers across the country.
Fashola explained that the 2,000MW was from the 7,000MW that Gencos could generate and the 5,000MW that Discos could distribute.
Fashola, had in February this year met with electricity customers and the Manufacturers Association of Nigeria (MAN) on how the 2,000 stranded megawatts (MW) of electricity could be delivered to industries and households.
The minister had said that Generation companies now produce 7,000MW and the Transmission Company of Nigeria (TCN) was able to transport all of it while working on expanding its capacity. He also revealed that the Distribution Companies (Discos) have also increased their load-taking capacity to 5,000MW.
“However, this leaves a gap of 2,000MW of what you manufacturers will call unsold inventory. What we seek to do is just increase the possibility of access to power and the quality of power supply,” Fashola said.
He however expressed worry over the activities of some operators, noting that government was acting and would not relent in salvaging the challenges in the sector.
“The number of complaints coming to government for meters, which the Discos should supply, and for estimated billings, and mass disconnections when no everybody is owing cannot continue.
“Government must act, and will do so, the Discos bought these assets with their eyes open, and they must compete to deliver or exit,” Fashola said.
