Exclusives

How NERC plans to address MDA debts

by DIPO OLADEHINDE, MICHEAL ANI & BUNMI BAILEY

July 12, 2018 | 4:06 pm
  |     |     |   Start Conversation

The Nigerian Electricity Regulatory Commission (NERC) says it will compel government ministries and departments (MDAs) to have prepaid peters to ensure accurate electricity billing as at well as advance a credit scheme that will be settled upon appropriation to offset huge MDAs debts estimated at about N27billion.

James Momoh, the vice chairman of NERC during the second series of the annual BusinessDay future of energy series held in Lagos today, said through a representative that the Commission was making the provision in order to solve the liquidity challenges currently  facing.

At the BusinessDay future energy series  event NERC said it has put structures in place  to ensure al MDA have prepaid meters in order to solve the increasing  huge debts currently facing the power sector.

Funke Dinneh the general manager legal licence and compliance of NERC who was representing the managing director said the commission have decided that some critical service providers because of the delicate nature of their services   will have banks credit which will be settled when appropriation is  made from the national assembly.

‘The commission is also looking at closing the metering gap which has always effect liquidity, we made  it mandatory that all MDA must be metered to ensure maximum utilization,’ Dinneh said at the BusinessDay event.

The event which was tagged ‘Making Nigeria’s Power Market Bankable’, Funke Dinneh explained that the commission is also creating a platform for customers most especially MDA’s to  pay up front which will increase  accessibility and accountability in the sector.

 

 ‘I was in one of the meetings  with some security agencies and was taken aback when some them said they were exempted from paying electricity bills,’ Dinneh said at the BusinessDay event.

Dinneh noted that the situation were MDA’s don’t pay bills was  obtainable when the government was still in total control but now the private sector is  involved its no longer obtainable.

‘So if they don’t pay who will pay,’ Dinneh exclaimed.

 

 

 

 

 

 

 

 

 

                              

 

 

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by DIPO OLADEHINDE, MICHEAL ANI & BUNMI BAILEY

July 12, 2018 | 4:06 pm
  |     |     |   Start Conversation

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