Power distribution companies are set to invest N935bn in their networks as calls for the recapitalisation of Discos heighten, Okechukwu Nnodim reports
A total of N935bn is to be invested in power distribution networks across the country by electricity distributors following persistent calls that the firms be recapitalised.
Operators in other arms of the power business on several occasions had called for the recapitalisation of the Discos, as they noted that investment in distribution assets would enhance power supply in Nigeria.
Latest data obtained from the Nigerian Electricity Regulatory Commission on the Performance Improvement Plans of the Discos showed that the power firms had mapped out over N900bn to be invested in their networks between 2019 and 2024.
Documents submitted to the NERC by eight Discos showed that the firms would expand their networks with at least N935bn.
Of the 11 power distribution companies in Nigeria, the eight Discos that have indicated interest to invest the N935bn in their networks are Abuja, Ikeja, Benin, Kaduna, Kano, Enugu, Ibadan and Eko.
In their different Performance Improvement Plans submitted to the NERC, the Discos revealed how they planned to upgrade their distribution networks between 2019 and 2024.
They stated that their investments would be on facilities such as meters, transformers and power distribution lines.
The documents from NERC also showed that Abuja, Ikeja, Eko and Enugu Discos planned to invest N56bn, N105bn, N78.6bn and N118bn, respectively over the five-year period.
On their parts, Benin, Kano, Kaduna and Ibadan Discos will invest N287bn, N49.8bn, N112bn and N83bn, respectively during the same period, according to the documents.
The power firms stated that with such investments in their respective networks, their output would be enhanced in order to meet the demands of operators and electricity consumers across the country.