- NERC reiterates its support for BEDC takeover.
- Fidelity Bank exercises its right to seize the shares that served as collateral for loan acquisition.
The Nigerian Electricity Regulatory Commission (NERC) emphasizes its support for the Benin Electricity Distribution Company (BEDC) takeover by its creditor bank, disapproving of the recent actions taken by the former management.
NERC claimed that it had a legal duty to the electrical market and that it when carried out in the public interest, takes precedence over any alleged private interests.
The regulator warned the public in a statement that the only directors of BEDC still recognized by the commission are the temporary board, which is made up of Henry Ajagbawa, K.C. Akuma, Adeola Jose, Charles Onwera, and Yomi Adeyemi.
“All stakeholders and members of the general public are enjoined to provide the required support to the interim board of directors as they work on ensuring continuity of service to end-use customers in the BEDC network area,” NERC stated.
Additionally, it stated that the commission did not recognize the public notices signed by Mr Lucky Ayomoto, who was allegedly working on behalf of the former board and administration of the BEDC. It was noted that private investors jointly own the BEDC, with Vigeo Power Ltd. holding 60% of the equity and the Bureau of Public Enterprises (BPE) holding 40% on behalf of the federal and state governments. It was also noted that Fidelity Bank had exercised its right to seize the shares that served as collateral for the acquisition loan due to a default in servicing the loan.