The 11 electricity distribution companies (Discos) in the country on Wednesday, through the Director of Research and Advocacy at the Association of Nigerian Electricity Distributors (ANED), Mr. Sunday Oduntan, stated that the Revenue Shortfall in the market has reached N809.8 billion, ThisDay reports.
They also picked holes at the federal government’s recent approval of N701 billion for the Nigerian Bulk Electricity Trading Plc (NBET) to pay generation companies (Gencos) for services rendered. Speaking through ANED, the Discos claimed that the amount which covers from November 1, 2013 when the new owners of power companies took over to date includes, a balance of N90.41 billion from the N213 billion intervention by the Central Bank of Nigeria (CBN) to pay-off gas supply legacy debts.
Oduntan, urged the government to extend its interventions to all segments of the electricity supply chain rather than focusing solely on the Gencos. Describing the N701 billion intervention for the Gencos as “too little, too partial,” He said it was necessary for the government to take a holistic approach towards resolving the liquidity problem of the power industry. While also urging the government to increase its investment into the Transmission Company of Nigeria (TCN), Oduntan pointed out that most of the supply challenges in the supply chain were from poor and obsolete transmission infrastructure.
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