Eko DisCo Raises Concerns About MDAs’ N144 Billion Electricity Debt.
The acting Managing Director of the Eko Electricity Distribution Company, Mrs. Rekhiat Momoh, has disclosed that the company is currently owed N144 billion by various ministries, departments, and agencies within its operational area. This announcement was made during a visit by the House of Representatives Committee on Privatisation and Commercialisation to the company in Lagos.
Momoh highlighted that the Nigerian military, police, and several state government agencies have failed to settle their electricity debts, creating significant challenges for the distribution company. The PUNCH noted that many electricity distribution companies in Nigeria have expressed concerns that at least 20 out of the 36 state governments are not paying their electricity bills.
According to the Executive Director of Research and Advocacy at the Association of Nigerian Electricity Distributors, Sunday Oduntan, many states are in debt for electricity consumed by government houses or secretariats. He mentioned that attempts by the DisCos to recover these debts often result in their offices being sealed due to claims of unpaid taxes owed to the states.
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Despite these challenges, the EKEDC CEO emphasized that the company has made significant strides in reducing its aggregate technical, commercial, and collections losses ratio. She reported a decrease in the AtC&C losses ratio from 35% in 2023 to 15.1% in 2024.
Momoh also noted that the company has successfully metered over 700,000 of its customers. This metering initiative is part of their efforts to enhance efficiency and accountability within the electricity distribution framework.
In addition, Momoh mentioned that the DisCo is collaborating with the Federal Government’s Distribution Sector Recovery Programme to procure an additional 92,000 meters for its customers. This move aims to further improve service delivery and ensure better management of electricity consumption.
The ongoing issues with unpaid electricity bills and the efforts to address them reflect the broader challenges faced by the power sector in Nigeria. As the company navigates these difficulties, it remains committed to improving its operations and serving its customers effectively.