NIGERIA: Stakeholder Call for Recapitalisation of DisCos

  • Stakeholder call for recapitalisation of DisCos
  • Calls for unbundling of the current DisCos to one per state

In an interview, the Chairman, Basic Metal Fabricated Iron and Steel Products Manufacturers, an arm of the Manufacturers Association of Nigeria (MAN), Dr Yusuf Kamoru, has called for the unbundling and recapitalisation of the Distribution Companies (DisCos).

Calling for the unbundling of the existing DisCos, Kamoru said, ”It has been canvased severally that the coverage areas for the DisCos are too large and would not make for the effectiveness of the DisCos hence, the need to further unbundle the distribution sub-sector of the value chain comprised of 11 DisCos into 36 DisCos. This will ensure the effectiveness of DisCos as well as monitoring. It is clear that most of the 11 DisCos are biting more than they could chew.”

”The decades of appalling performance of the Nigerian Electricity Supply Industry (NESI) have left many Nigerians wondering if NESI could ever be remedied, seeing that the role of NESI in the state of Nigeria’s economy cannot be overemphasised. From the several households scattered across Nigeria, through the Small and Medium Enterprises (SMEs) to the large electricity consumer in the manufacturing sector, a turnaround of NESI will in no small measure positively impact the very fabric of Nigeria. This is because virtually all businesses need electricity to thrive.” he added.

Kamoru added that the DisCos should be mandated to carry out network infrastructural projects every month. At the same time, the Transmission Company of Nigeria (TCN) should be required to upgrade equipment and infrastructure periodically.

Leave a Reply

Your email address will not be published. Required fields are marked *