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Reps Query AEDC Over Alleged Discriminatory Power Distribution Formula


The House of Representatives Ad-hoc Committee investigating power sector reforms and expenditures from 2006 to 2024 has berated the Abuja Electricity Distribution Company (AEDC) over an electricity distribution policy said to be discriminatory.

The committee expressed concern over claims that the company allocates approximately 80 per cent of its electricity supply to the Federal Capital Territory (FCT), while the remaining 20 per cent is shared among Kogi, Niger, and Nasarawa states within its franchise area.

The lawmakers made their position known during an oversight visit to the corporate headquarters of the distribution company in Abuja.

The committee described the alleged 80–20 distribution model as unfair and economically damaging to the affected states, noting that citizens and businesses in Kogi, Niger, and Nasarawa have consistently complained of prolonged outages, low supply, and poor service delivery.

Responding, the Managing Director of AEDC, Chijioke Okwuokenye, denied any deliberate discriminatory intent but acknowledged disparities in supply.

He attributed the distribution pattern to operational and commercial realities, including: high levels of energy theft in some states, weak infrastructure and network limitations, low revenue recovery rates, and mounting debts owed by customers.

According to him, the Federal Capital Territory remains the company’s largest and most viable revenue base, which significantly influences allocation decisions.

On the issue of estimated billings, the AEDC Managing Director disclosed that the company has so far distributed over 300,000 prepaid meters across its coverage area.

He added that estimated billing has been significantly reduced and that AEDC now operates a capping system in line with regulatory directives to prevent overbilling of unmetered customers.

However, some lawmakers maintained that complaints from consumers suggest that the problem has not been fully resolved.

The committee also queried AEDC over loans and intervention funds reportedly obtained from the Federal Government following the privatisation of the power sector 13 years ago.

In his defence, Okwuokenye clarified that the current management took over the company in 2023 through a receivership arrangement. He maintained that the new investors cannot be held accountable for financial decisions or obligations incurred as far back as 2013.

He disclosed that the company is currently servicing inherited liabilities, including obligations to the Central Bank of Nigeria, and remains committed to clearing historical debts while stabilising operations.



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