Electricity Reps urge FG to stop blackout threats by electricity companies

The House also urged govt to underwrite and issue treasury bills to cover debts owed by the armed forces, ministries, and agencies.

  • Published:
Electricity pylons carry power from Cape Town's Koeberg nuclear power plant August 13, 2015. REUTERS/Mike Hutchings/File Photo play Electricity pylons carry power from Cape Town's Koeberg nuclear power plant August 13, 2015. REUTERS/Mike Hutchings/File Photo
24/7 Live - Subscribe to the Pulse Newsletter!

The House of Representatives has urged the Federal Government to intervene in the threat by power generation and distribution companies to disconnect agencies yet to pay their bills.

The House also urged government to underwrite and issue treasury bills to cover debts owed by the armed forces, ministries, departments and agencies.

These demands were sequel to a motion raised under Matters of Urgent Public Importance by Rep. Albert Adeogun (PDP-Osun), which was unanimously adopted by members through a voice vote.

The House also urged full privatisation of the sector by enhancing the responsibility of National Electricity Regulatory Commission (NERC).

Adeogun, moving the motion explained that the N400 billion debts owed gas manufacturers, generation and distribution companies by customers is distorting production, generation and distribution corridors.

He said that if the debts are not paid, most of the power generation companies will not go beyond 2016.

"The inability of distribution companies to pay for bulk purchase of energy generated had hampered the ability to pay generation companies who in turn are unable to pay gas manufacturers."

Adeogun expressed worry that any blackout in the country will further cripple the economy and worsen the security situation particularly in the North-East.

He added that the situation can also lead to closure of all energy propelled sectors if urgent intervention is not made by the federal government.

The House mandated its committee on power to interface with gas producers, DISCOS and GENCOS to find out the dislocation on gas to power attributed to debt profile of stakeholders in the energy sector. 

Do you ever witness news or have a story that should be featured on Pulse Nigeria?
Submit your stories, pictures and videos to us now via WhatsApp: +2349055172167, Social Media @pulsenigeria247: #PulseEyewitness & DM or Email: eyewitness@pulse.ng. More information here.