Kaduna Electric has severed electricity supply to the Kaduna State Government House and other state government accounts due to unpaid bills. The disconnection follows exhaustive efforts by the utility company to resolve the issue through consultations and reconciliations.
The outstanding balance for electricity consumed from January 2024 to July 2024 alone totals a substantial One Billion, One Hundred and Sixty-Six Million, Eight Hundred and Fifty-Six Thousand, Nine Hundred and Ninety-One Naira, Eighty-Seven Kobo (N1,166,856,991.87). This, combined with historical debt, brings the Kaduna State Government’s total arrears to Two Billion Nine Hundred and Forty-Three Million Sixty Thousand One Hundred and Sixteen Naira Seventy-Seven Kobo (N2,943,060,116.77).
Despite a recent payment of N256,920,963.88 made on May 9, 2024, for electricity consumed between September 2023 and December 2023, the debt remains significantly high. The payment, while notable, has not sufficed to clear the accumulated arrears.
The disconnection decision, formally issued on July 21, 2024, and received by the Office of the Governor on July 22, 2024, was a last resort after numerous attempts to address the payment issues. In contrast, other states under the Kaduna Electric franchise—Sokoto, Kebbi, and Zamfara—have maintained their accounts in good standing, consistently meeting their payment obligations.
Kaduna Electric has emphasised that the disconnection was necessary to meet its own financial obligations and ensure operational stability.
The Nigerian Electricity Regulatory Commission (NERC) had previously intervened by installing an Administrator and Special Board to oversee Kaduna Electric during a transitionary period before the official takeover by current investors. The Administrator had committed to paying N20 million monthly, including statutory tax payments, which has been adhered to since the management change
The Kaduna State government has sealed off the office of Kaduna Electric after the electricity company disconnected power supply to government offices over N2.9bn debt.
The electric company had also disconnected electricity supply to other state government facilities.
But in a move that amounted to tit for tat, the Kaduna State Internal Revenue Service also sealed the Kaduna Electricity Distribution Company over a N600m tax liability.
Speaking to newsmen after the exercise in the early hours of Friday, the Executive Chairman of KADIRS, Jerry Adams, said the operation was an execution of a court order to restrain KAEDCO over the liability due to the state.
Adams explained that the N600m tax liability was from 2015 to 2022, when they did all the reconciliations with KAEDCO agreeing to pay a substantial amount of the liability.
The executive chairman, however, lamented, “Till this moment, since last year that the liability was established, KAEDCO has not met what it committed to do.
“We are backed by the law to seal and take over their premises in order to ensure compliance, and that is what we executed this morning.”
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