DISCOs borrow N273.24bn to purchase meters, others — Report

The 11 Electricity Distribution Companies, or DISCOs, have acquired a credit facility worth N273.34 billion to buy 414,000 meters for distribution, according to the Central Bank of Nigeria, or CBN.

The source was able to secure a report from CBN that provided a full evaluation of the N10.3 trillion in developmental money between 2015 and 2022. Among the meters that were purchased were maximum demand, smart, and single-phase meters.

The loan was given out as part of the intervention project of the Nigerian energy Market Stabilization Facility with the goal of raising the country’s energy capacity from 3,400 megawatts to about 4,900 megawatts.

The data shows that the intervention program gave N40.74 billion to the Ikeja Disco and N34.85 billion to the Eko Disco.

N34.69 billion was also received by the Abuja Distribution Company; Ibadan Disco borrowed N27.73 billion; Enugu DISCO borrowed N27.84 billion; and Kaduna Disco borrowed N24.36 billion.

The research also emphasized other important problems found in the program, such as an unsatisfactory market with problems with market liquidity, a lack of foreign exchange, and a poor infrastructure for the distribution of power.