Minister says FG can't sanction Electricity Distribution Coys

The former Governor further explained that before the increase in tariff, consultations have been held with all stakeholders as the Electricity Power Sector Reform Act 2005 provided.

 

In a recent statement by the Minister's spokesman, Timothy Oyediji, the Minister said the FG lacked moral right to penalise the coys because many government agencies - especially Military, Departments and Agencies - are heavily indebted to the various coys.

Fashola argued further that the government cannot act arbitrarily when dealing with the power coys saying a due process must be followed, hence, it would have to contend with multiple court cases.

Fashola said the processes of determining tariffs were clearly outside the control of the Federal Government, since the government had liquidated the Power Holding Company of Nigeria and only retain a minority share.

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