Tag: Nigeria’s power sector reforms

  • Reps panel summons Ibadan, Jos Discos MDs for dodging power probe

    Reps panel summons Ibadan, Jos Discos MDs for dodging power probe

    The House of Representatives Ad hoc Committee investigating Nigeria’s power sector reforms and expenditure from 2007 to 2024 has summoned the Managing Directors of Ibadan Electricity Distribution Company and Jos Electricity Distribution Company over their absence at a hearing to probe their operations.

     Chairman of the committee, Hon. Al-Mustapha Ibrahim, expressed strong dissatisfaction during the hearing, stressing that the absence of the Discos’ chief executives undermined the purpose of the investigation.

    According to him, the committee was constituted to address Nigeria’s persistent power challenges, which have continued to slow national development despite over a decade of power sector privatisation.

    “There is no way we can move forward without hearing directly from the Managing Directors,” Ibrahim said. “We want them to tell Nigerians who they are, what they do, the investments they have made, and how they have utilised the various government interventions in the power sector.”

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     He noted that while generation and transmission issues have been interrogated in previous sessions, distribution companies remain critical stakeholders whose performance directly affects electricity supply to consumers.

     The chairman recalled submissions from the Transmission Company of Nigeria (TCN), which revealed that Nigeria has never generated up to 13,300 megawatts of electricity at any time, with peak generation hovering around 10,000 megawatts, despite transmission capacity of about 7,000 megawatts.

     “The big question is why Nigerians are still in darkness,” Ibrahim said. “Discos must explain why communities and individuals are still forced to buy transformers and other infrastructure that should ordinarily be their responsibility.”

     During the hearing, officials who appeared on behalf of the Discos could not provide convincing explanations for the absence of their Managing Directors, nor present letters formally notifying the committee of any delegation.

     Members of the committee unanimously rejected the representation and insisted that only the Managing Directors could adequately address the issues raised.

     Following deliberations, Hon. Mohammed Olaide (Oyo State) moved a motion for the meeting to be adjourned to 5th February, directing the Discos to reappear with their Managing Directors to defend their submissions and explain their investment records, infrastructure development, and utilisation of intervention funds.

     “We want to hear from the horse’s mouth. Nigerians are suffering across the country, and this is not an issue we can continue to treat lightly.”

     The motion was amended by Hon. Abubakar Jajere (Yobe State), who called for the invitation of core investors in the Discos, citing what he described as a pattern of disregard for the committee’s summons.

     “We have already set a precedent that agencies invited must be represented by their chief executives,” Jajere said. “If the Discos continue to respond negatively, then we should invite their core investors. That way, accountability will be enforced.”

    The chairman upheld the amended motion, warning that failure to comply with the committee’s directive would attract the full instrumentality of the House.

     “If they continue to evade this investigation, it raises serious questions about their capacity, commitment, and ability to deliver effective power supply after 13 years of privatisation,” Ibrahim said.

     The committee adjourned proceedings to 5th February, reaffirming its resolve to uncover the root causes of Nigeria’s electricity crisis and ensure accountability in the power sector.

  • Reps committee queries Azura

    Reps committee queries Azura

    • To explain N18b payment

    The House of Representatives Ad Hoc Committee investigating Nigeria’s power sector reforms and expenditure from 2007 to 2024 yesterday queried Azura-Edo Power Plant over the N18 billion the company received from the Federal Government through the Nigerian Bulk Electricity Trading Plc (NBET) within six months in 2023.

    During the resumed investigative hearing in Abuja, Committee Chairman Ibrahim Almustapha Aliyu demanded explanations after discovering that Azura failed to disclose or account for the funds in its submission to the panel.

    Aliyu said official records showed that between January and June 2023, Azura received over N18 billion as excess tariff payments and other financial settlements from NBET — payments the committee said directly fall under the scope of ongoing investigations into public expenditure on the power sector.

    But when asked about the transactions, Azura’s Head of Legal and Compliance and its representative at the hearing, Akeem Olabende, admitted that the company did not submit any document on the payments.

    He also confirmed that Azura omitted information on budgetary allocations, loans, grants, bank settlements, and other financial inflows connected to federal power-sector spending.

    Olabende explained that the omission was due to what he called a misunderstanding of the committee’s documentation requirements.

    According to him, Azura focused its submission on operational data, such as installed capacity, generation profile, dispatch performance, and availability figures.

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    “We did not fully understand the documentation that the committee required,” Olabende said. “Now that I have a clearer understanding, we will go back and ensure that all the financial documents and additional details the committee has requested for are provided.”

    Aliyu stressed that the probe was not limited to technical performance but also to the financial commitments of the Federal Government to private operators, particularly through NBET, the Central Bank’s intervention windows, and budgetary appropriations.

    Members of the committee reminded Azura of its obligations under the Constitution, warning that the company’s continued failure to provide full disclosures could compel the committee to invoke legislative powers to ensure compliance.

    The committee gave the Managing Director of Yola Electric Distribution Company, Abdulrahman Isa, another date to defend the company’s submissions.