The House panel raised concern over allegations that about 80 per cent of electricity supplied by AEDC is concentrated in the Federal Capital Territory, leaving Kogi, Niger, and Nasarawa states to share the remaining 20 per cent
The House of Representatives Ad-hoc Committee probing power sector reforms and spending between 2006 and 2024 has faulted what it described as a discriminatory electricity allocation pattern by the Abuja Electricity Distribution Company (AEDC).
The panel raised concern over allegations that about 80 per cent of electricity supplied by AEDC is concentrated in the Federal Capital Territory, leaving Kogi, Niger and Nasarawa states to share the remaining 20 per cent within the company’s franchise area.
The lawmakers voiced their concerns during an oversight visit to AEDC’s corporate headquarters in Abuja, as part of the National Assembly’s ongoing investigation into the performance of power sector operators and the utilisation of intervention funds since the 2005 unbundling and subsequent privatisation of the industry.
Members of the committee described the alleged 80–20 supply model as inequitable and economically harmful, noting that residents and businesses in the affected states have persistently complained of poor supply, frequent outages and substandard service delivery.
Chairman of the committee, Rep. Mustapha Ibrahim Aliyu, stressed that all states within a distribution company’s coverage area are entitled to fair treatment. He warned that electricity supply decisions should not be driven solely by revenue considerations, particularly in a sector that has benefitted from extensive public funding and federal interventions.
Responding, AEDC Managing Director, Chijioke Okwuokenye, denied any deliberate discrimination but acknowledged disparities in supply across the franchise area. He attributed the situation to operational and commercial challenges, including high levels of energy theft, weak infrastructure, low revenue recovery, mounting customer debts and the need to prioritise areas that generate sufficient revenue to sustain operations.
According to him, the Federal Capital Territory remains AEDC’s most viable revenue base, a factor that significantly influences allocation decisions. He added that the company is working to upgrade infrastructure and cut losses in underserved areas but said lasting improvements would require cooperation from host communities, state governments and consumers.
Estimated billing also came under scrutiny, with Rep. Danladi Suleiman and Rep. Ginger Obinna citing widespread complaints from constituents over arbitrary charges and the slow deployment of prepaid meters.
Okwuokenye disclosed that AEDC has rolled out more than 300,000 prepaid meters across its network, adding that estimated billing has been substantially reduced. He said the company now operates a capping system in line with regulatory directives to prevent overbilling of unmetered customers.
However, some lawmakers insisted that continued consumer complaints suggest the issue is yet to be fully resolved.
The committee further queried AEDC over loans and intervention funds accessed by distribution companies following privatisation, expressing dissatisfaction that despite billions of naira injected into the sector through the Central Bank of Nigeria and other mechanisms, electricity supply has not improved significantly.
In his defence, Okwuokenye explained that the current management assumed control of AEDC in 2023 under a receivership arrangement, arguing that the new investors should not be held responsible for financial decisions taken as far back as 2013.
He noted that the company is servicing inherited liabilities, including obligations to the CBN, while working to stabilise operations.
At the end of the session, the committee directed AEDC to submit documents relating to power allocation, intervention funds, loan repayments and infrastructure investments to aid the investigation.
It also instructed the company to reappear before the panel alongside the Transmission Company of Nigeria to clarify issues surrounding bulk power allocation, transmission constraints and coordination within the distribution chain.
The lawmakers reiterated that the probe is aimed at ensuring accountability, transparency and improved service delivery in the power sector, warning that operators found wanting would be held to account.
