FG Threatens to Slash 50% DisCos’ Revenue Over Poor Electricity Supply

The Nigerian government has warned the electricity distribution companies (DisCos) that they will face a 50 per cent cut in their revenue if they fail to improve their service delivery and reduce the frequent power outages in the country.

The vice chairman of the Nigerian Electricity Regulatory Commission (NERC), Musiliu Useni, made this known in a statement on the commission’s X account on Monday. He said the commission would evaluate the performance of each DisCo and impose sanctions accordingly.

He said: “NERC will look at performance on a case by case basis. Sanctions and actions will not be the same. Ensure that you improve your efficiency. If your efficiency is at the level expected, you will get your full OPEX. If you don’t perform, you will only get 50% of your admin OPEX.”

The statement came amid the worsening electricity supply situation in parts of Nigeria. In the past weeks, many consumers have complained of low or no power supply from the DisCos.

The Enugu Electricity Distribution Company, which serves the southeast region, said in a statement on Monday that the drop in power supply was beyond its control.

The Minister of Power, Adebayo Adelabu, had earlier attributed the drop in electricity supply nationwide to gas constraints and debts owed by the DisCos. He said he had inaugurated a committee to address the issue and restore power supply.

However, DAILY POST reported that the power supply crisis had persisted in some parts of Nigeria, leaving many consumers frustrated and dissatisfied.