•House of Representatives
The House of Representatives has directed electricity distribution companies (DisCos) across Nigeria to undergo a recapitalisation exercise to the tune of N500 billion.
This measure is aimed at strengthening their financial capacity to effectively deliver reliable electricity services to Nigerians, reports Daily Independent.
The resolution of the House was reached on Wednesday following the adoption of a motion titled, “Need to Address the Activities of Distribution Companies in Nigeria”, sponsored by Hon. Ayokunle Isiaka, who represents Ifo/Ewekoro Federal Constituency in Ogun State.
While soliciting support for his motion, Hon. Isiaka stressed the growing concerns over the operations of electricity distribution companies (DISCOs) across the country, noting that their activities have increasingly threatened Nigeria’s economic stability and the welfare of its citizens.
He expressed alarm that despite Nigerians paying for electricity meter installations, DISCOs often demand additional payments for meter replacements under questionable circumstances, further compounding the financial burden on consumers.
“The House expresses concern that consumers, who had previously paid for electricity meter installations, are now being pressured into making additional payments for replacements. This practice imposes undue financial strain on households and businesses already grappling with economic hardships.”
An All Progressives Congress (APC) lawmaker has raised concerns over what he described as the “sabotage of economic development” by electricity distribution companies (DISCOs). He accused the companies of exploiting essential services to the detriment of citizens, thereby stifling economic growth and progress.
The lawmaker further lamented that despite consistent regulatory oversight and demands for accountability by the House Committee on Power, DISCOs have continued to operate with impunity and a blatant disregard for consumer rights.
Following the adoption of the motion, the House presided over by the Speaker, Tajudeen Abbas urged DISCOs to “Undergo recapitalization of not less than N500bn and only those with the required financial muzzles that can provide maximum satisfaction to consumers are allowed the space to continue to operate.”
The House further directed the Federal Ministry of Power to classify Distribution Companies (DISCOs) as non-state actors and to take urgent measures to address their reckless practices, which pose a significant threat to the nation’s economy.
To this end, the House has directed its Committee on Power to investigate the activities of electricity distribution companies (DISCOs) in Nigeria.
This move is aimed at ensuring accountability and safeguarding consumer rights.
To address concerns over transparency and fairness, the House further mandated the committee to spearhead awareness campaigns to educate consumers about their rights.
Additionally, the committee is tasked with examining the implementation of stringent regulations governing the operations of DISCOs, with the goal of fostering equitable and transparent practices in their dealings with consumers.
