The Federal Government, under the leadership of Tinubu, has announced its plans to sell the five electricity Distribution Companies (DisCos) due to the persistence of power outages. On Monday, April 22, the Minister of Power, Adebayo Adelabu, confirmed the news.
The DisCos have been managed by banks and the Asset Management Company (AMCON), who took over after the management failed to repay loans. However, they lack the necessary technical capacity to manage the DisCos effectively.
As a result, the sale of the DisCos to reputable technical power operators is expected to be completed within three months, as per the Minister.
The DisCos affected by this decision include Abuja Electricity Distribution Company (AEDC), Benin Electricity Distribution Company (BEDC), Kaduna Electricity Distribution Company, Kano Electricity Distribution Company, and Ibadan Electricity Distribution Company (IEDC) under the AMCON management. The DisCos are owned 60% by investors and 40% by the Federal Government.
DisCos have blamed low allocation from the national grid and gas shortages to generating companies (GenCos), among other factors, for the blackout.
