Electricity Debt

Electricity Debt: Millions of Nigerian Consumers Face Mass Disconnection from National Grid


Key highlights:

  • The Market Operator (MO) had informed some Discos, including generating companies, of the disconnection plan due to their failure to remit ancillary service bills. After MO’s notice, electricity supply has degenerated further across the country, with many areas complaining of either low or no supply.
  • The DisCos and Gencos listed among defaulters by the Market Operators include Abuja Electricity Distribution Company, Benin Electricity Distribution Company, Enugu Electricity Distribution Company, Ibadan Electricity Distribution Company, Ikeja Electric, Jos Electricity Distribution Company, Kaduna Electric, Kano Electricity Distribution Company, Port Harcourt Electricity Distribution Company, APL Electric Company Aba, Ajaokuta Steel Company, and Niger Delta Power Holding Company plants and Paras Energy.
  • According to the Managing Director/CEO of the Ibadan Electricity Distribution Company (IBEDC), Kingsley Achife, there will be mass disconnection from the national grid due to poor remittances by customers. The areas to be affected by the disconnection are Oyo, Ogun, Osun, Kwara, and parts of Niger, Ekiti, and Kogi states.

Nigeria’s Transmission Company and Market Operator have begun a massive disconnection exercise of debtor electricity distribution companies from the national grid. Millions of electricity consumers may face a blackout in the coming weeks if Discos fail to make necessary payments.

The move is part of the effort to ensure that Discos pay their debts and improve the electricity supply in the country. However, it is likely to cause discomfort for consumers who will be affected by the mass disconnection from the national grid. Consumers are advised to pay their current and outstanding bills to avoid any inconvenience that may arise from the disconnection exercise.

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