The country seem to be far from experiencing power failures as electricity distribution companies have said the rot in the sector cannot be cleared in two years, The Punch reports.
Several electricity consumers have complained that the power sector has not improved substantially despite being run by private investors since November 2013 when it was privatised. But the power distribution companies under the umbrella of the Association of Nigerian Electricity Distributors (ANED) have lamented that the rot in the sector is beyond what they had imagined.
The pioneer Director, Research and Advocacy, ANED, Mr. Sunday Oduntan, stated that so much funds had been pumped into the distribution firms in a bid to improving the service without any appreciation. He said;“The decay in the sector spans 50 years. So, it cannot be cleaned up in a year or two. It is an ongoing investment programme to us the Discos.”
Oduntan, speaking on the magnitude of decay in the sector and why it would take more time to fix the system, said that the inadequate energy given to the Discos had lowered their revenue base. He also lamented losses incurred especially due to the non payment of bills.
Another constraint, he said, was the very uncertain tariff regime. He said that the Discos were not complaining, but noted that what the firms were agitating for was a cost reflective tariff that would clearly show the cost of delivering electricity to the consumers.
He however thanked the government for the recent Central Bank of Nigeria intervention fund but asked them to do more to help solve some of the prevailing issues in the sector.