Adewale Sanyaolu

Following growing concerns and complaints by electricity consumers over poor service delivery by Electricity Distribution Companies (Discos), the National Economic Council(NEC) yesterday, appointed Kaduna State Governor, Nasir el-Rufai, as the head of the ad-hoc committee to review the ownership of the DisCos.

Imo State Governor, Emeka Ihedioha,  announced the committee’s decision after the  NEC meeting, saying the National Council on Privatisation (NCP) and Bureau of Public Procurement (BPE) would serve on the committee. Governors representing the six geo-political zones on the Board of the Niger Delta Power Holding Company(NDPHC) will serve on the review committee.

The power sector was unbundled in 2013 resulting into six successor generation and 11 distribution companies from the defunct Power Holding Company of Nigeria (PHCN).

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The Nigerian Electricity Regulatory Commission(NERC) had this month given Discos till December 7 to submit their written responses providing reasons why their licences should not be cancelled.

In an updated document on the notice of hearing on the petitions by DisCos on the Minor Review and Minimum Remittance Order dated November 5, 2019,  the power sector regulator also outlined additional expectations from the DisCos. The commission had issued a cancellation notice to eight power distribution companies in October this year and mandated them to respond within 60 days, otherwise their licences would be cancelled. It named the eight firms as Abuja, Benin, Enugu, Ikeja, Kaduna, Kano, Port Harcourt and Yola DisCos.

The DisCos, according to the NERC, breached the terms and conditions of their respective distribution licences based on the provisions of Electric Power Sector Reform Act and the 2016 – 2018 Minor Review of Multi Year Tariff Order and Minimum Remittance Order for the Year.