VIDEO: Inside Nigeria’s electricity companies and their perpetual loss-making

Almost all of Nigeria’s 11 electricity distribution companies reported huge losses in seven straight years, a distressing scorecard that highlights the struggles of a sector that has failed to meet the power needs of Nigerians nearly a decade after the government handed control of the firms to private investors.

Ten of the 11 companies, also known as DisCos, reported about N2 trillion in losses between 2013 and 2019. The firms made no profits in any of the years in between, according to a PREMIUM TIMES analysis of their annual reports. Port Harcourt Electricity Distribution Company, the only company not on the list, did not file its report, prompting sanctions from the regulator, the Nigeria Electricity Regulatory Commission.

Ikeja Electricity Distribution Company recorded the highest total loss of N472.2 billion, while Benin Electricity Distribution Company recorded N81 billion as the least. One energy sector consultant blamed the losses on “low tariffs”, and another said there was the “issue of sub-optimal management”.

Nigeria Nigeria Latest News, Nigeria Nigeria Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

Inside Nigeria’s electricity companies and their perpetual loss-makingTen of 11 privately-run companies reported losses for seven straight years, highlighting the problems of a sector beset by everything... How will they make profit? Run any business the way Discos run electricity and see how you collapse in few months.
Source: PremiumTimesng - 🏆 3. / 78 Read more »

Inside Nigeria’s electricity companies and their perpetual loss-makingTen of 11 privately-run companies reported losses for seven straight years, highlighting the problems of a sector beset by everything... How will they make profit? Run any business the way Discos run electricity and see how you collapse in few months.
Source: PremiumTimesng - 🏆 3. / 78 Read more »