Electricity distributors’ association decries outstanding debts by MDAs

The Association of Nigerian Electricity Distributors (ANED) has raised concerns over outstanding electricity debts owed by government Ministries, Departments and Agencies (MDAs).

Mr Sunday Oduntan, the Managing Director, Chief Executive Officer of ANED, said this in an interview with the News Agency of Nigeria (NAN) on Wednesday in Abuja.

Oduntan said delayed or non-payment by government institutions continued to worsen the financial strain on DisCos.

He urged the Federal Government to treat electricity obligations owed by MDAs as a direct first-line charge on approved budgets to ensure timely payment.

“DisCos need to be empowered to disconnect government agencies that fail to settle their electricity bills and pursue lawful recovery of outstanding debts.

“Access to affordable and long-term financing is critical to the survival, expansion and modernisation of Nigeria’s electricity distribution network,” he said.

Oduntan also called for improved customer service and greater transparency in electricity billing, as well as the expansion of mini-grid and off-grid electricity solutions, particularly in rural and underserved communities.

He recommended stronger accountability mechanisms that would enable electricity consumers and Civil Society Organisations (CSOs) to hold DisCos accountable for service delivery.

He said that a combination of improved metering, stronger revenue collection, affordable financing and greater accountability would be essential to strengthening the financial sustainability of the distribution sector.

He said it would also improve electricity supply across the country.

Source: News Agency of Nigeria (NAN)