Senate kicks against Tariff Increase by Discos

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THE Senate Committee on Privatisation has said that there was no need for the proposed increase in electricity tariff. Ben Murray-Bruce, chairman of the committee, said electricity distribution companies, Discos, were close to Cost Reflective Tariff era.

During a monitoring visit to Kano Electricity Distribution Company, KEDCO,  he said it would  be suicidal for prospective customers in the country if an increase in tariff is allowed without a concomitant increase is workers’ wages.

The senator said all what the Discos need was to make their system efficient and effective to meet the needs of customers. He hailed the management of KEDCO for their ability to serve their customers efficiently, generating over N2 billion against the targeted N3.5 billion to keep them in business.

“This development is an encouraging one, in which the management has told us honestly and clearly that this is a good business in which there is hope for Nigerians. We are excited with the explanations we got from Kano DISCO. We will go back to the Senate and write our report and tell all Nigerians that there is hope for them and the problem of power can be fixed,” he said.

Murray-Bruce said all that is needed is the money and meters for the whole country, adding that the Discos needed to figure out when transmitters break down so that the Transmission Company of Nigeria, TCN, can fix them immediately.

Also speaking, Jamil Isyaku Gwamna, managing director, KEDCO, complained to the Senate committee that the 350 megawatts transformer in Kumbotso has broken down without TCN effecting any repairs. He lamented that the development was now hampering supply to its numerous consumers.

He also lamented the non-payment of electricity bills by customers as major challenge for the company. He said this denies the firm revenue, adding that, with the 2,500 workers, the company monthly wage bill stands at N530 million.

 

 

– Dec.  15, 2017 @ 09:29 GMT

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