The Eko Electricity Distribution Company Plc on Wednesday said it had spent over N1.44bn on projects expansion to boost electricity supply to customers in the last three years.
The EKEDCP Chief Executive Officer, Mr. Oladele Amoda, disclosed this at a news conference in Lagos to mark three-year post privatisation of handing over distribution companies to owners.
The Federal Government on November 1, 2013, handed over the transactions of the five generation companies and 11 distribution companies to private owners.
Amoda said that the company embarked on massive rehabilitation and reinforcement of its dilapidated network, adding that over 400 transformers had been installed in various locations to reduce low shedding of supply.
He said, “We have commenced construction of five 33/11KVA injection substations in Surulere, Ikoyi and Ajah axis which will cost the company over N1bn.
“EKO disco had made modest improvement in electricity supply in the last three years of post-privatisation but still confronted with little challenges.
“Over N1.44bn had been spent on various projects expansion within the company to boost electricity supply to customers in the last three years.”
The EKEDCP boss said that over N53bn would be required for effective metering of customers within its network.
Amoda said that over N5bn had been spent on metering of maximum demand and non-maximum demand customers to date.
He said that about 6,000 meters had been pencilled down for roll-out to different customers, while 67,000 had been installed out of 187,000 meters delivered by the manufacturer.
Amoda said that energy theft and vandalism of equipment posed serious challenges to the company, adding that billions of naira had been spent on replaced vandalised equipment.
He said that the money that was meant for expansion and development of the network was used to replace vandalised equipment, which posed serious concern to the company.
The chief executive said that in spite of the successes recorded, the company was still faced with liquidity challenges which stood at N900bn gap due to high rate of foreign exchange.
He said that policies of government on foreign exchange had made international lenders skeptical of giving loans to power industry in the country.
According to him, the inability of Federal Government Ministries, Departments and Agencies to pay their outstanding debts of over N11bn being owed to EKEDCP as at July 2016.
He said that the debt had affected the company greatly.
He said, “To enhance productivity of the workforce, staff had undergone training and are still going through training in different areas in business process development.
“In strategic customer relationship, safety, technical efficiency and revenue cycle management.
“We have invested over N55.2m on staff training and capacity development.”