Victor EzejaMinister of Power, Adebayo Adelabu, says there are plans by the federal government to settle outstanding debts owed power generation and gas supply companies to alleviate financial burden and improve generation levels nationwide.
The Minister made this known in a statement released on Wednesday.
Join our WhatsApp ChannelPrime Business Africa reports that the minister had recently disclosed that the federal government was owing power generating companies ₦1.3 trillion while the debt to gas supplying companies was $1.3 billion.
However, in his statement on Wednesday, the minister promised that the outstanding debts would be settled.
Adelabu said he is deeply concerned about poor power supply across the country, adding that the ministry had been exerting pressures on GenCos to enhance their performance, resulting in a recent increase in generation to over 4000MW, but some electricity distribution companies fail to distribute the power supplied by TCN while vandalism also impact on power supply.
He further said he has summoned Chief Executives of Abuja Electricity Distribution Company (AEDC) and Ibadan Electricity Distribution Company (IBEDC), as well as the Managing Director of the Transmission Company of Nigeria (TCN), to a crucial meeting following complaints from consumers over incessant power failure.
“The purpose of this meeting is to discuss the worsening power supply in their respective regions and to collectively find lasting solutions,” he stated.
“It is disheartening to witness the decline in power supply despite the concerted efforts to improve the situation. The Ministry has been exerting pressure on the Generating Companies (GENCOs) to enhance their performance, resulting in a recent increase in generation to over 4000MW.
“Despite this progress, certain distribution companies are failing to adequately distribute the power supplied by TCN, while vandalism of power infrastructure exacerbates the problem in regions such as Abuja, Benin, Port Harcourt, and Ibadan.”
The minister said that going forward, all DisCos will be held accountable for their performance.
“Willful non-performance will not be tolerated, and severe consequences, including license revocation, may be imposed.
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“Additionally, I have instructed TCN to prioritize repair works on damaged transmission towers and power lines to improve supply in affected regions.”
The power minister added that during his recent visits to power generating plants, he witnessed firsthand the challenges faced by the sector.
“Plans are underway to settle outstanding debts owed to power generation and gas supply companies, which will alleviate the financial strain and contribute to improved generation levels nationwide.
“I urge electricity consumers to remain patient as we work tirelessly to address these issues and provide better service to all Nigerians,” he stated.
Victor Ezeja is a passionate journalist with six years of experience writing on economy, politics and energy. He holds a Masters degree in Mass Communication.
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