NERC GIVES KADUNA DISCO ONE YEAR TO TURN AROUND OPERATIONS
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By: Fasasi Hammad
The Nigerian Electricity Regulatory Commission (NERC) has given the newly constituted interim board of Kaduna Electricity Distribution Plc (KAEDC) 12 months to overhaul the company and restore it to a sustainable growth path.
The directive follows repeated failures by the electricity distribution company to meet market obligations and prescribed performance benchmarks.
NERC Chairman, Musiliu Oseni, issued the charge on Tuesday while addressing members of the newly constituted Interim Board of Special Directors and the Interim Administrator of KAEDC.
Oseni said the new management must begin delivering measurable improvements immediately, noting that NERC had undertaken a similar intervention in 2024 which significantly improved the DisCo’s performance before its former investors regained control.
He identified KAEDC’s high Aggregate Technical, Commercial and Collection (ATC&C) losses and significant metering deficit as the most urgent challenges requiring attention.
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The Bureau of Public Enterprises (BPE) also urged the new management to maximise existing metering programmes to close the gap across KAEDC’s franchise area.
BPE Director-General, Ayo Gbeleyi, said the available metering initiatives should be deployed aggressively to improve accountability, reduce losses and strengthen revenue collection.
Meanwhile, NERC Commissioner for Legal, Licensing and Compliance, Dafe Akpeneye, said the members of the special board were selected based on their professional expertise and relevant skills needed to drive the turnaround.
The five-member board, chaired by Abdullahi Garba, pledged to work closely with NERC and BPE to address KAEDC’s operational and financial challenges and ultimately make the company viable and attractive for sale.
Garba said the board would seek to transform KAEDC into a model of improved performance within the Nigerian Electricity Supply Industry.
The intervention followed NERC Order No. NERC/2026/08, which dissolved the previous board over repeated failures to meet market obligations and prescribed performance indicators.
NERC subsequently appointed the five-member Interim Board of Special Directors for an initial one-year term, while Abubakar Umar Hashidu was appointed Interim Administrator for six months.
The latest intervention builds on NERC’s 2024 action, which the regulator said resulted in significant improvements in KAEDC’s performance.
The new board is expected to translate the intervention into measurable gains in electricity distribution, metering, revenue collection and loss reduction, with NERC pledging to closely monitor the company’s progress throughout the one-year mandate.
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