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Operators doubtful of improved power supply



Senate probes Fashola, BPP over alleged N2.4bn contract scam

There is no likelihood that the epileptic power supply in Nigeria will improve in the nearest future, as a fresh row over debts settlement has hit major operators in the sector.

Since the privatization of the power sector in 2013, there has never been any love lost among the three sub units that emerged. Though that had not been allowed to play out fully to the public knowledge, consumers are yet to enjoy steady power supply ever since.

Reports say business relationship among the subunits had gone from bad to worse since October 2016 when government openly declined to settle about N60 billion bills that operators had slammed on it as part of electricity bill owed by government agencies.

It was learnt that failure of government to pay the bills has been responsible for the current crisis, leading to inability of the operators to improve on power genetation capacity above the 3.5 megawatt, which they inherited.

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The situation has seen the Discos owing over N100 million to the Gencos and banks, which they were quoted as saying they were not in a position to settle unless unpaid bills by consumers were recovered.

Also the Managing Director of Ikeja Electricity Distribution Company, Dr, Anthony Youdeowei, said seamless services could only be feasible if the Gencos could cooperate by sustaining supply to enable them secure consumers’ confidence after which all outstanding debts could be settled.

He confirmed that there had been some issues bordering on intra-debt settlement among the operators.

However, an official of the Gencos said power generation is capital intensive, which could only be run when no debt is involved.

This, analysts interpret to mean that there is likely going to be longer delay in achieving better power-delivery services in Nigeria.

It was further learnt that the recent threat by the Minister of Works, Power and Housing, Babatunde Fahola, that operators in the sector, who failed to deliver services would be booted out of the system, is seen by stakeholders as mark of government insensitivity to the challenges facing them.

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  1. yanju omotodun

    January 17, 2017 at 1:20 pm

    Federal government should revoke the license of any power holding company that’s not capable. Electricity is the bedrock of development.

    • Joy Madu

      January 17, 2017 at 5:47 pm

      Yes. But Nigerians are used to darkness and are not complaining

  2. seyi jelili

    January 17, 2017 at 1:50 pm

    The only solution to epileptic power supply in Nigeria is for the Federal government to preside over the power sector again. As government can’t privatise health sector so ought the power sector ought to be.


      January 17, 2017 at 5:10 pm

      Leave it that way. Government’s handling of Power won’t have been more worst than this. Even in advanced world, government doesn’t oversee the power sector.

  3. Roland Uchendu Pele

    January 17, 2017 at 4:26 pm

    Are people still hopeful of a better power supply under this administration?
    I’ll rather direct my hope somewhere else.

    • chichi emerue

      January 17, 2017 at 5:56 pm

      Uchendu, no hope in this hopeless Nigeria indeed.

  4. Margret Dickson

    January 17, 2017 at 6:49 pm

    I find it funny whenever people discuss Nigeria’s electricity. No one is hoping for its betterment, we are all fed up and used to the blackout already. If they like they should close down the sector and put Nigeria in total black out, no one cares

  5. Animashaun Ayodeji

    January 17, 2017 at 6:52 pm

    Privatization of the sector has not in any way helped the country, when it was NEPA, electricity was better, PHCN is just nothing to write home about. If the FG likes, they should find solution to the debt, if they like they should leave it unpaid, Nigerian’s will survive

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