NIGERIA: CBN Disburses Intervention Fund to DisCos

The Central Bank of Nigeria (CBN) has begun the disbursement of the Federal Government intervention fund for the Nigerian electricity market. The intervention will address critical infrastructure challenges for Distribution Companies (DisCos).

Special Adviser to President Muhammadu Buhari on Infrastructure, Mr. Ahmed Zakari has said, “there is N120 billion capital expenditure (CAPEX) fund from the Central Bank for DisCos to improve infrastructure for the tariff classes similar to the ongoing metering program”.

Metering in the sector has remained a challenge despite the efforts of the Federal Government. The implementation of the National Mass Metering Program (NMMP) has so far, gotten off to a poor start.

The PwC’s Associate Director, Energy, Utilities and Resources, Habeeb Jaiyeola commended the intervention saying, “Previous intervention funds have been utilized to settle collection challenges. The plan to use this intervention for infrastructure development is a step in the right direction”.

 

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