Gov’t agencies owe Nigerian electricity distributors N100 Billion, executive director reveals

The Executive Director of the Association of Nigerian Electricity Distributors, Sunday Oduntan, has revealed the staggering debt owed by the Nigerian government agencies to electricity distributors, amounting to approximately N100 billion.

Speaking in an interview with Arise TV on Sunday, Oduntan emphasised the crucial role of the government in fostering an enabling environment for energy distributors in the country. 

He highlighted that the outstanding debt encompasses various Ministries, Agencies, and Departments (MDAs), totaling N100 billion.

Oduntan underscored the repercussions of delayed payments, citing the recent incident involving the presidential villa’s overdue electricity bill to the Abuja Electricity Distribution Company. 

He stressed the need for timely settlement of bills to avoid such situations, urging all parties to fulfill their financial obligations.

“I said all of us need to play our part. On the part of the government, always try to create an enabling environment for businesses to strive. Always play your part by paying your bill,” Oduntan stated.

He further revealed that the issue of unpaid bills extends beyond recent occurrences, emphasising that the accumulated debt did not originate in May 2023, dispelling any notions of political motives behind the disclosure.

Meanwhile, President Bola Tinubu recently intervened by directing the clearance of the N342.3 million outstanding electricity bill owed by the Presidential Villa to the Abuja Electricity Distribution Company. 

This directive followed thorough account reconciliation conducted by the State House Management and AEDC.

The Abuja Electricity Distribution Plc (AEDC) expressed its frustration over the prolonged non-payment by government entities, prompting the publication of details of MDAs with outstanding bills. 

Among the listed debtors are the Presidential Villa, the Federal Ministry of Finance, the Federal Ministry of Health, the Governor of the Central Bank of Nigeria (CBN), and the Federal Inland Revenue Service (FIRS).

“AEDC is constrained to do this publication of the details of government ministries, departments and agencies with outstanding unpaid bills for services offered to them through the provision of electricity supply in that our previous attempt to make them honour their obligations have not achieved the desired results,” AEDC stated in a released statement.