Electricity distributors not against government policies – ANED
The Association of Electricity Distributors (ANED) has said it members are not against government policies but however implored politicians not drag the power sector into murky water of politics so that investors can concentrate on the business of providing steady power supply to consumers.
The association which is the umbrella body of electricity distribution companies (Discos) said the liquid crisis in the sector is the major problem stressing that it is not interested in attacking or engaging in unnecessary confrontation with anybody or group of people over the various challenges facing the sector but rather to see how the stakeholders can work together for the benefit of all consumers.
ANED which was reacting to allegation made against it by the Minister of Power, Works and Housing, Babatunde Raji Fashola that it resisting government policies aim at improving power supply said what is important is that operators in the power sector should come together and collaborate to solve the various challenges in the sector.
“Operators in the power sector are not talking to each other and this has not helped its development as everybody does its own thing without sitting down with the other interest group so that they can take a critical look at what the issues are with the aim of resolving them”.
Sunday Oduntan, Executive Director, Research and Advocacy, ANED who spoke on behalf of the Discos said that the association is not against the policies of government that were recently rolled out but it is worried about the timing and how they were done .
He said the issue of indebtedness will remain with the sector because of the non availability of cost reflective tariff. He said that Discos are ready to cooperate with the government.
Commenting on some of the allegation by the minister, the association said: “Unfortunately, minister’s expression of his interest in promoting national interest has resulted in his ministry’s consistent promotion of policy initiatives that have resulted in sector-wide confusion and that infringe on the roles and responsibilities of the various sector players; the imposition of ministry’s agenda on the regulator, compromising it independence, the seemingly lack of respect for contract; and the self serving distortion redefining of the law that is the bedrock of privatisation and reform”
He said when the minister refers to the passage of five years of privatisation and business still do not have power, “we do have to ask, did the government meet all of its obligations to the Discos’ ability to implement the requirement of the performance Agreement”
“With the minister going outside of the specifications of NEPP and the general policy role stipulated under EPSRA, issuing directives to Nigerian Electricity Regulator Commission( NERC), we now have a regulator whose independence has been compromised and that has essentially become the minister’s enforcer, a bastardisation of the role specified by its enabling act. How can this increased regulatory risk foster the enabling environment that is required for the attraction of investment that is need for the magnitude and the long-term nature of power sector,” he said.
The association suggested that as long as the minister continues to play politics with the power sector and refuse to recognise the independence of the regulator, in spite of the ministers frequency of ministerial assurances stating that otherwise, assurance that there are contradicted and belied by his action no number of directive issued to NERC will correct industry headlong plunge into cataclysmic collapse