{"id":124528,"date":"2025-12-19T06:58:07","date_gmt":"2025-12-19T05:58:07","guid":{"rendered":"https:\/\/pointblanknews.com\/pbn\/?p=124528"},"modified":"2025-12-19T06:58:07","modified_gmt":"2025-12-19T05:58:07","slug":"reps-accuse-discos-of-shortchanging-nigerians-13-years-after-privatisation","status":"publish","type":"post","link":"https:\/\/pointblanknews.com\/pbn\/news\/reps-accuse-discos-of-shortchanging-nigerians-13-years-after-privatisation\/","title":{"rendered":"Reps Accuse DisCos of Shortchanging Nigerians 13 Years After Privatisation"},"content":{"rendered":"<div style=\"text-align: justify;\">By Tracy Moses<\/div>\n<div style=\"text-align: justify;\"><\/div>\n<div style=\"text-align: justify;\">The House of Representatives Ad-hoc Committee probing spending in Nigeria\u2019s power sector has accused electricity Distribution Companies (DisCos) of failing to meet their obligations to consumers, 13 years after the privatisation of the industry, which was intended to improve electricity supply nationwide.<\/div>\n<div style=\"text-align: justify;\"><\/div>\n<div style=\"text-align: justify;\">The allegations came on Thursday during the resumed investigative hearing of the Committee, as officials of Abuja, Port Harcourt, and Benin Electricity Distribution Companies appeared before lawmakers.<\/div>\n<div style=\"text-align: justify;\"><\/div>\n<div style=\"text-align: justify;\">Chairman of the Committee, Hon. Ibrahim Al-Mustapha Aliyu, said the promise of stable and improved electricity supply that motivated privatisation has largely remained unfulfilled, leaving Nigerians frustrated.<\/div>\n<div style=\"text-align: justify;\"><\/div>\n<div style=\"text-align: justify;\">\u201cPublic perception across the country is that DisCos are the weakest link in the power value chain,\u201d Aliyu said. \u201cMany of them fell into the hands of individuals who are not genuine investors and who lack the willingness to invest but instead exploit the system.\u201d<\/div>\n<div style=\"text-align: justify;\"><\/div>\n<div style=\"text-align: justify;\">He noted that 13 years after privatisation, most DisCos are yet to demonstrate deliberate, concrete investments capable of improving electricity supply nationwide.<\/div>\n<div style=\"text-align: justify;\"><\/div>\n<div style=\"text-align: justify;\">Citing Abuja Electricity Distribution Company as an example, Aliyu said the company prioritises high-income urban centres while neglecting rural and less profitable areas.<\/div>\n<div style=\"text-align: justify;\"><\/div>\n<div style=\"text-align: justify;\">\u201cAbuja DisCo covers areas as far as Kontagora, yet their focus remains Abuja because that is where the money is. Large parts of Kontagora remain without electricity because extending lines to those communities is considered economically unviable,\u201d he said.<\/div>\n<div style=\"text-align: justify;\"><\/div>\n<div style=\"text-align: justify;\">Aliyu stressed that such practices contradict the objectives of privatisation, which were meant to ensure equitable access to electricity across the country.<\/div>\n<div style=\"text-align: justify;\"><\/div>\n<div style=\"text-align: justify;\">He also questioned the financial returns from DisCos, noting that while private investors own 60 per cent of the companies and the Federal Government retains 40 per cent equity, the government has not received any dividend.<\/div>\n<div style=\"text-align: justify;\"><\/div>\n<div style=\"text-align: justify;\">\u201cIf I ask how much dividend has been paid to the government on its 40 per cent equity, the answer is zero,\u201d he said. He added that DisCos often claim to be investing at a loss, despite benefiting from government interventions.<\/div>\n<div style=\"text-align: justify;\"><\/div>\n<div style=\"text-align: justify;\">Aliyu recalled that the Federal Government had extended several financial lifelines to the sector, including loans from the Central Bank of Nigeria, all funded by taxpayers.<\/div>\n<div style=\"text-align: justify;\"><\/div>\n<div style=\"text-align: justify;\">\u201cThese interventions are financed with public funds, yet the same taxpayers remain the worst hit by poor electricity supply,\u201d he said.<\/div>\n<div style=\"text-align: justify;\"><\/div>\n<div style=\"text-align: justify;\">He disclosed that the Committee has begun discussions with investors and co-investors in the DisCos to explore ways of improving service delivery.<\/div>\n<div style=\"text-align: justify;\"><\/div>\n<div style=\"text-align: justify;\">\u201cWe must have honest conversations as Nigerians on how to rescue this situation,\u201d he added.<\/div>\n<div style=\"text-align: justify;\"><\/div>\n<div style=\"text-align: justify;\">Also speaking, Hon. Billy Osawaru lamented that consumers are being forced to shoulder the burden of DisCos\u2019 operational failures.<\/div>\n<div style=\"text-align: justify;\"><\/div>\n<div style=\"text-align: justify;\">Osawaru said Nigerians are compelled to purchase electricity meters that should be provided free, while communities contribute funds to procure transformers, poles, and other infrastructure, assets that are later taken over by DisCos without compensation.<\/div>\n<div style=\"text-align: justify;\"><\/div>\n<div style=\"text-align: justify;\">Another Committee member, Hon. Okorie, accused DisCos of neglecting their core responsibilities, citing instances where communities remained without power for extended periods due to vandalised equipment that was not repaired.<\/div>\n<div style=\"text-align: justify;\"><\/div>\n<div style=\"text-align: justify;\">He narrated how one community stayed in darkness until the House Committee on Public Petitions intervened, prompting the DisCo to act.<\/div>\n<div style=\"text-align: justify;\"><\/div>\n<div style=\"text-align: justify;\">\u201cOnly when the House directed them to reconnect the community did they discover the extent of the vandalism,\u201d Okorie said.<\/div>\n<div style=\"text-align: justify;\"><\/div>\n<div style=\"text-align: justify;\">Okorie added that the community, through its local government chairman, mobilised youths to monitor power installations, leading to the arrest and prosecution of vandals within a week.<\/div>\n<div style=\"text-align: justify;\"><\/div>\n<div style=\"text-align: justify;\">\u201cThis shows that vandalism can be curbed when there is a healthy relationship between DisCos and host communities,\u201d he said.<\/div>\n<div style=\"text-align: justify;\"><\/div>\n<div style=\"text-align: justify;\">He argued that widespread consumer rights abuses contribute significantly to vandalism, noting that communities often lose interest in protecting infrastructure they funded but no longer control.<\/div>\n<div style=\"text-align: justify;\"><\/div>\n<div style=\"text-align: justify;\">\u201cYou cannot expect a community to spend N50 million on equipment, hand it over to a DisCo without compensation, and still expect the youths to protect it,\u201d Okorie said.<\/div>\n<div style=\"text-align: justify;\"><\/div>\n<div style=\"text-align: justify;\">In response, Mr. Evwienure Agama, Chief Financial Officer of Benin Electricity Distribution Company, representing the DisCos, told the Committee that they face multiple operational challenges.<\/div>\n<div style=\"text-align: justify;\"><\/div>\n<div style=\"text-align: justify;\">He cited obsolete infrastructure, electricity theft, meter bypass, where customers tamper with meters to reduce billing, vandalism, and revenue shortfalls as major obstacles to their performance.<\/div>\n<!-- AddThis Advanced Settings generic via filter on the_content --><!-- AddThis Share Buttons generic via filter on the_content --><!-- AddThis Related Posts generic via filter on the_content -->","protected":false},"excerpt":{"rendered":"<p>By Tracy Moses The House of Representatives Ad-hoc Committee probing spending in Nigeria\u2019s power sector has accused electricity Distribution Companies (DisCos) of failing to meet their obligations to consumers, 13&hellip;<!-- AddThis Advanced Settings generic via filter on wp_trim_excerpt --><!-- AddThis Share Buttons generic via filter on wp_trim_excerpt --><!-- AddThis Related Posts generic via filter on wp_trim_excerpt --><\/p>\n","protected":false},"author":1,"featured_media":118814,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_lmt_disableupdate":"","_lmt_disable":"","footnotes":""},"categories":[5],"tags":[],"class_list":["post-124528","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v26.8 - 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