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Black Out Looms As FG Orders Disconnection Of Three Major DisCos From National Grid

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Abuja Distribution Company

Nigeria is set to witness serious black out with an order by the federal government to disconnect three electricity distribution companies from the national grid.

The order follows their “non-compliance with the conditions of market rules”.

Eko, Enugu and Ikeja distribution companies were informed of the development via notices issued by the market operator, an arm of the Transmission Company of Nigeria (TCN).

According to reports,  the DisCos are said to have failed to renew their security cover and are allegedly owing the TCN energy service debt to the tune of N231 billion. The DisCos were reportedly given room to address the situation but did not respond within the stipulated time. The notice to Ikeja DisCo read: “The restriction of Ikeja Electricity Distribution Company intake from the grid through a Disconnection Order to the Transmission Service Provider to disconnect some facilities of Ikeja Electricity Distribution Company until the event of default stated in NIISO/2019/003 is remedied.” The notice to the Enugu DisCo read: “That Enugu Electricity Distribution Company (EEDC) is under suspension through market operator issued Order TCN/ISO/MO/002

“That Enugu Electricity Distribution Company (EEDC) has been suspended from the market operator administered market due to an Event of Default that was not remedied. “EEDC was notified of this Event of Default by a Notice of Event of Default (NED/2019/002) dated May 24, 2019.” On its part, a directive was also given for the suspension of Eko Electricity Distribution Company on similar grounds.

Reacting to the development, the company’s deputy managing director, Paul Okeke, said necessary arrangements are being made by the EEDC to to procure and deliver security cover to the market operators. The head of corporate communications of Ikeja DisCo, Felix Ofulue, said an extension of time had been sought by the company to enable it fulfill its obligation. His words: “Notwithstanding the above, Ikeja Electric assures all its customers and other stakeholders that everything will be done to ensure that there is no deliberate disruption to services.”

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