BREAKING NEWS, Power
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The Nigerian Electricity Regulatory Commission bans electricity distribution companies from mass disconnection of power consumers over non-payment of tariffs
| By Anayo Ezugwu | Jun 13, 2016 @ 01:00 GMT |
FOLLOWING threat by the electricity distribution companies, Discos, to disconnect heavy debtors in the country, the Nigerian Electricity Regulatory Commission, NERC, has announced an outright ban on the mass disconnection of electricity consumers by the Discos across the country.
NERC, in a public announcement on Tuesday, May 31, said its attention had been drawn to incidents of mass disconnection of electricity supply to communities, villages, local government areas and estates by the distribution companies on the excuse of non-payment of electricity bills. It said: “Please note that the commission has developed procedures for disconnection of defaulting customers as contained in the regulation on connection and disconnection of electricity services. The commission has also banned mass disconnection of electricity customers.
“Therefore, any community, village, local government area or estate wrongfully disconnected from electricity supply should report to the commission for its further action. Consequently, electricity disconnection by the Discos is strictly to be effected in accordance with the provision of sections 5-11 of the commission’s Connection and Disconnection Procedures for Electricity Services Regulation.
“Electricity customers who pay their bills should not be disconnected via a mass disconnection of his/her community, block of flats, estate, etc. Any mass disconnection carried out by the Discos in contravention of the provisions of the above regulation is illegal and should be reported to the commission.”
In May, the Discos had commenced what they described as the mass disconnection of chronic debtors, who allegedly owed them N94 billion. Sunday Oduntan, executive director, Association of Nigeria Electricity Distributors, ANED, who confirmed the mass disconnection exercise, stressed that the Discos published advertisements in all major newspapers asking the chronic debtors to pay up within 10 days.
Oduntan had argued that his member-companies had to carry out its threat when it became obvious that there was nothing on the table. “Although we appreciate the efforts of Vice-President Yemi Osinbajo and the Minister of Power, Works and Housing, Babatunde Fashola, but the stark reality is that there is nothing concrete to hold on to. There is no provision for MDAs’ debts to Discos in the budget, even though we started discussions before the budget was passed. The indebtedness has become so huge that we are truly troubled about how the government would resolve this without a budgetary allocation.”
The body had revealed that government establishments, including the military and security agencies alone owed the Discos some N93 billion. The figure, it said, comprised N39.1 billion pre-privatisation of electricity assets and N39.5 post-privatisations. Also thrown into the debt calculation is the outstanding interest of N15 billion, which the Bulk Trader charges Discos for late payment of their electricity bills, which was worsened by the non-settlement of electricity bills by consumers as and when due.
Figures from the Discos have shown that as at April 31, 2016, the various MDAs of the federal and state governments still owed them a total of N78, 676,366,684.22 . Also, on this inglorious list of debtors to the Discos are the various military and paramilitary formations, as well as the Nigerian Police stations scattered across the country which actually owes a larger chunk of the debt of N50, 048, 702, 696.3 or 64 percent.
The breakdown of the debts owed by the military, police and paramilitary formations to the Discos include Abuja – N3,805,039,794.87, N371,945,359.84, N11,800,433.36, respectively; Benin – N1,837,363,099.47, N120,721,997.61, N2,713,562.91; Eko – N3,689,271,605.46, N158,315,423.73 and N4,558,968.69 respectively; Enugu – N897,346,450.10, N73,865,841.93 and N34,826,750.72; Ibadan – N2,527,003,645.51, N168,373,253.80 and N7,581,718.90; Ikeja – N2,781,453,670.00, N648,224,118.00 respectively; and Jos – N1,623,369,157.17, N649,243,065.99 and N11,038,786.04.
Also, the three formations owe Kaduna Disco N2,053,947,838.95, N144,782,630.10, and N22,835,595.16; Kano – N619,847,824.60, N36,720,871.72; Port Harcourt – N1,710,382,864.36, N72,780,889.47, N11,931,786.31 and Yola – N935,990,027.02, N167,970,684.54 respectively. They all summed up to the outstanding N50, 048, 702, 696.3.
Other federal, states and local governments MDAs also owe the Discos -N4,909,382,489.92; N700,831,976.07 and N574,296,266.39, while the Prisons, Customs and Immigration owe the Discos N533,600,628.01; N207,621,125.66 and N23,430,265.71, respectively.
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