Discos working with agencies to kill eligible customer licencing scheme—MAN
Speculations are rife that some electricity Distribution Companies (Discos) are colluding with relevant agencies of the government to frustrate the speed of approval and commencement of the for eligible customer regulations of the Nigerian Electricity Regulatory Commission (NERC).
Already, the Director General of Manufacturers Association of Nigeria (MAN), Mr Segun Ajayi-Kadir, has decried the development as a setback for government’s good thought in growing industrialisation and business in Nigeria.
For example, about 40 companies that applied for eligible customer regulations of the NERC had not been granted licences, rather irrelevant issues are being raised by agencies of the government to cause delays in granting approvals.
It was discovered that apart from the 40 companies that initially applied who are yet to get approvals, there are 14 more firms who have submitted applications but are not being treated.
The contractual framework coming with the new power supply system is designed to cut off Discos and deliver power direct to bulk users including industries.
Under the framework, large scale power users or companies can purchase power directly from generation companies without necessarily going through the distribution companies.
The MAN DG therefore called on the Federal Government to trace out the particular agencies colluding with Discos in frustrating the issuance of licences to move power from generation points to big companies that have applied for such services.
According to him, “Over 40 companies have indicated interest to benefit from the scheme and so they are in one stage or the other in processing their applications but 14 have actually submitted their applications.
“So, it is worrisome that all sorts of delay tactics are being put in place to debar them from benefitting from this scheme which the government has done in the best interest of industry and the economy.
“I think it is a worrisome development because we believe the eligible customer scheme is supposed to liberate us from what has become the major issue we have in the industry.
“It is supposed to allow us to access power. This is based on the fact that the distribution companies could not give us what we want. Even when they supply power, it is not regular and it is not adequate.”
While seeking government’s intervention to ensure that those that have met the requirements should be given the licences, Ajayi-Kadir decried that “It is worrisome, we want it to end, and we want our members to be able to access this facility so that they can grow their businesses.
“I think one of the major constraints is the issue of the Discos having to give you a letter of consent that they do not have an objection to you accessing the scheme. I think that should be removed because they are totally unrelated.
“Some of our members have taken banks’ guarantees that should completely insulate them from the requirement of the Discos who contest bills.
“So, NERC should put its feet down and say those who have taken banks’ guarantees should be immediately absolved of that responsibility so that they can go ahead and access it but those other ones if they are ready to give banks’ guarantees, they should be able to access it.”
Analysts are upbeat that cutting of Discos and getting power supplies direct from gencos will ensure sanity in the manufacturing sector.
