FG to sell Abuja, Ibadan, Benin, Kaduna, Kano DisCos – Power Minister reveals
The Federal Government has announced its intention to divest ownership of the five electricity Distribution Companies (DisCos).
Minister of Power, Adebayo Adelabu, made this declaration on Monday, April 22, highlighting that banks and the Asset Management Company (AMCON), which have been overseeing these DisCos due to their inability to repay loans, lack the necessary technical expertise.
The Minister stated that the sale to reputable technical power operators is slated for completion within three months.
The affected entities include the Abuja Electricity Distribution Company (AEDC), managed by the United Bank of Africa (UBA); the Benin Electricity Distribution Company (BEDC); the Kaduna Electricity Distribution Company; and the Kano Electricity Distribution Company, managed by Fidelity Bank. The Ibadan Electricity Distribution Company (IEDC) is currently under AMCON’s management.
Investors currently hold 60 per cent of shares in the DisCos, while the Federal Government retains the remaining 40 per cent.
DisCos have attributed the ongoing blackout to factors such as insufficient allocation from the national grid and shortages of gas supplied to generating companies (GenCos).
