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Outages: FG To Sanction Non-performing Discos

Published

3 months ago

February 13, 2024

Editor

Power distribution companies that are performing below stipulated standards in the Nigeria Electricity Supply Industry are going to lose 50 per cent of their operating expenditures, the Federal Government declared on Monday.

It made the declaration through the Nigerian Electricity Regulatory Commission at the 1st NESI Stakeholders Meeting of 2024 in Lagos, stressing that the individual performances of the Discos shall be examined on a case by case basis going forward.

Officially, Nigeria has 11 power distribution companies that supply electricity to over 12 million registered power users across the country.

The successor Discos were privatised in November 2013, alongside the power generation companies that produce the electricity supplied to the national grid.

The Transmission Company of Nigeria transmits the power produced by the Gencos to the Discos for onward distribution to users nationwide.

But the sector has been plagued by series of concerns, top among which is the issue of poor liquidity, and complains around the inability of Discos to make adequate financial remittances to the industry to guarantee power production.

But in series of posts on the power sector regulator’s official X handle on Monday, it was stated that the Vice Chairman, NERC, Musiliu Useni, urged Discos to improve their performance or suffer consequence.

He was quoted as saying, “NERC will look at performance on a case by case basis. Sanctions and actions will not be the same. Ensure that you (Discos) improve your efficiency.

“If your efficiency is at the level expected, you will get your full OPEX (operating expenditure). If you don’t perform, you will only get 50 per cent of your admin OPEX.”

NERC, as the regulator of the power sector, has the power to approve the operating expenditures of Discos and other key operators in the industry, and it has been doing this over the years.

Speaking on the operationalisation of Ministries Departments and Agencies centralised billing platform, Useni told his audience that this was being handled by the finance ministry.

“A payment system was put in place for critical MDAs, with an agreement for the central settlement of their electricity consumption by the Ministry of Finance, which would have access to their meter readings,” he stated.

He further noted that the sector must be run sustainably in terms of payment obligations by various operators.

“We need to ensure that sustainable payment going forward is in place. Market rules are clear, but they don’t envisage there would be tariff shortfall or subsidy,” Useni stated.

The commission stated that the meeting was expected to provide strategic direction for the NESI, review compliance since the last meeting, and give licensees a platform to discuss issues.

Also speaking at the meeting, the Commissioner, Engineering, Performance and Monitoring, NERC, Chidi Ike, said the responsibilities of licensees in the NESI shall be examined.

“We are planning to organise a comprehensive workshop for licensees to examine their responsibilities. The workshop will cover the legal framework, grid code, HSE (health, safety and environment), and everything they need to know, following which there will be sanctions for non-compliance,” he stated.

He expressed worry over the construction of houses under transmission lines and warned Discos to desist from supplying such structures with power.

“You see swathes of communities under transmission lines. Discos supply power to them despite them being in clear contravention of the Right of Way of TCN. We are going to focus on those areas and make sure that Discos aren’t going to benefit from any form of illegality,” Ike stated.

On his part, the Assistant General Manager, Engineering, Performance and Monitoring, NERC, John Joseph, highlighted the leading cause of accidents during his presentation on the Health and Safety Performance of the NESI in 2022 and 2023.

“38 per cent of accidents in 2023 were caused by unsafe conditions. There are safety guidelines that should be followed but are jettisoned instead, leading to accidents,” he stated.

Related Topics:#TCN DISCOs Electricity National Grid

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Bauchi Lawmaker Pledges To Expedite Passage Of Bill On Reduction Of Out-Of-School Children

Published

9 hours ago

May 10, 2024

Editor

Honourable Nasiru Ala, the Chairman, House Committee on Education in the Bauchi State House of Assembly has pledged to expedite the passage of the state framework Bill to reduce Out-Of-School in the state.

He made the pledge during a two-day regional stakeholders meeting on out-of-school children and retention, transition as well as completion models in Bauchi, Gombe and Adamawa states.

According to him, any moment the bill is sent to the state House of Assembly from the Executive, the lawmakers would expedite actions to ensure that the bill is passed within three to four weeks.

He said: “Based on the law making, we are going to enact this particular law on the domestication of the Bauchi state framework to reduce Out-of-School children bill within three to four weeks from the day of reception from the Executive Arm.

“Our governor has been very cooperative and supportive on this particular issue of out of school children because it is a serious menace.

“As an academic, I’m not always happy anytime I hear the word Out-of-School children.

“That is why it’s not going to be a big deal in the Bauchi state House of Assembly to enact the state framework to reduce Out-of-School children in the state.

“In three weeks time In-Sha-Allah, we are going to pass into Bill this State Framework to reduce Out-of-School children in the state”.

Also speaking, Mr Raphael Aiyedipe, Education Officer, UNICEF Bauchi Field Office, said that the Universal Basic Education Commission (UBEC) had developed a National Framework of Action to Reduce Out-of-School Children and drive access to education in the country.

According to him, the framework commits to substantially and systematically decrease the number of Out-of-School children in Nigeria by 2030.

He highlighted some of the objectives of the framework to include; improve access and quality of education for all Nigerian children, drive improvement in learning and relevant skills development.

Others, he said, were to accelerate the social and economic development of communities and the country at large.

“The Framework has 5 thematic areas that includes; political actors and this means gaining the political will and government commitment.

“Best practices and alternative pathways and this translates to defeating learning poverty, Community accountability, that is engaging stakeholders to build ownership.

“Technology and ICT which means improving access through innovative solutions and Financing mechanisms, that is, reaching the most vulnerable,” he explained.

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EFCC Trial: ‘Even The Prophets Went To Prison’ – Buhari’s Minister Comforts Self In Court

Published

19 hours ago

May 10, 2024

Editor

A former Minister of Aviation, Hadi Sirika, standing trial for an alleged N7.2bn fraud, said he was ready to go to prison just like the prophets.

Sirika, his daughter, and three others were arraigned at a Federal Capital Territory High Court on Thursday on a six-count amended criminal charge before Justice Sylvanus Oriji.

A video of the ex-minister speaking in court with his lawyers surfaced on X on Thursday.

In the video, Sirika, dressed in cream Babariga, could be heard saying, “It’s okay. Fatima, it’s okay,” while comforting his daughter.

He continued, “Even prophets have gone (to prison). Those that went, haven’t they finished theirs already?…whatever Allah says”

The Economic and Financial Crimes Commission had accused the ex-minister, his daughter, son-in-law and Al-Duraq Investment Limited, of fraud in connection with the botched Nigerian Air project.

Meanwhile, the court granted each of the defendants bail in the sum of N100m with two sureties each.

Before the trial judge, Justice Sylvanus Orji granted the bail request of the defendants, they pleaded not guilty to all the charges preferred against them after it was read out to them.

The prosecution counsel, Rotimi Jacobs SAN, had informed the court of an amended charge by the EFCC dated May 7, and filed on May 8, which was not opposed by the counsel for the defendants.

Sirika’s lead counsel, Kanu Agabi (SAN), informed the court of his client’s bail application dated May 6.

The other defendants similarly, moved their bail applications and prayed the court to be liberal in the bail conditions.

Jacobs, on his part, told the court that all the defendants were on administrative bail and asked the court to grant bail on the condition that would make them appear for their trials.

Apart from the N100m bail, Justice Osuji added that one of the sureties must own a landed property with valid land titles in like sum within the Federal Capital Territory.

The judge also held that the sureties must depose to an affidavit of means while he barred the defendants from travelling outside the country without its permission.

He added that failure to fulfil the bail conditions would earn the defendants a stay in a correctional facility.