The Federal Government has revealed plans to sell off the five electricity Distribution Companies (DisCos) following the persistent state of power outage across the nation. This development was disclosed by the Minister of Power, Adebayo Adelabu on Monday, April 22.
Adelabu stated that banks and the Asset Management Company (AMCON), which have been managing these DisCos, having taken over because of the failure of the management to repay loans, lack the technical capacity, further noting that the sale to reputable technical power operators is expected to be completed within three months.
Those affected are Abuja Electricity Distribution Company (AEDC) under the management of the United Bank for Africa (UBA), Benin Electricity Distribution Company (BEDC), Kaduna Electricity Distribution Company and Kano Electricity Distribution Company manage by Fidelity Bank, Ibadan Electricity Distribution Company (IEDC) is under the AMCON management.
Meanwhile, investors hold 60 per cent of shares in the DisCos as the Federal Government holds the remaining 40 per cent.
This ugly development has left DisCos blaming the incessant blackout on low allocation from the national grid and gas shortages to generating companies (GenCos), among others.
