The Nigerian government has committed to imposing a 50% penalty on electricity distribution companies due to persistent outages and inadequate service delivery to consumers. Musiliu Useni, the vice chairman of the Nigerian Electricity Regulatory Commission, announced this measure, emphasizing the need for DisCos to enhance their performance or face repercussions.
“NERC will assess performance on a case-by-case basis. Sanctions and consequences will vary. It is imperative to enhance efficiency. Failure to meet expectations will result in only receiving 50% of administrative OPEX,” stated Useni.
In recent weeks, several parts of Nigeria have experienced reduced electricity supply. The Enugu Electricity Distribution Company, responsible for servicing the southeast region, expressed that the decline in power supply was beyond their control. Minister of Power, Adebayo Adelabu, attributed the drop in electricity supply nationwide to gas constraints and outstanding debts.
To address the situation, Adelabu inaugurated a committee aimed at resolving the nationwide decline in electricity supply. Nevertheless, persistent power shortages continue in certain areas of Nigeria.