The Kaduna Electricity Distribution Company has disconnected the power supply to the Kaduna State Government House and other state facilities due to unpaid bills totaling N2.9 billion.
According to The PUNCH, this action was confirmed by AbdulAzeez Abdullahi, the Head of Corporate Communication, on Friday.
He explained that Kaduna Electric had made several attempts to resolve the issue, including consulting state officials, before issuing a disconnection notice on July 21.
The Kaduna State Internal Revenue Service sealed Kaduna Electric’s offices over a N600 million tax liability.
Executive Chairman of KADIRS, Jerry Adams, stated that this move was based on a court order to restrain KAEDCO due to the unpaid taxes.
He noted that the liability, covering 2015 to 2022, had been reconciled, and KAEDCO had agreed to pay a significant portion of it but failed to follow through.
Adams remarked, “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.”
In a statement, Kaduna Electric revealed that the debt for electricity consumed from January 2024 to July 2024 alone amounts to N1,166,856,991.87.
Combined with historical debts, the total owed by the state government stands at N2,943,060,116.77. Despite a payment of N256,920,963.88 on May 9, 2024, for electricity used between September 2023 and December 2023, the debt remains substantial.
“This payment, though substantial, has not been enough to clear the accumulated arrears,” the statement noted. KAEDCO had engaged in multiple consultations with state officials to resolve the payment issues, ultimately leading to the disconnection of power.
Unlike Kaduna, other states under Kaduna Electric’s franchise—Sokoto, Kebbi, and Zamfara—have maintained good standing in their electricity payments and obligations.
The disconnection notice, formally issued on July 21 and received by the Governor’s Office on July 22, underscores the company’s need to meet its own financial commitments amidst sector-wide challenges.
Kaduna Electric emphasized that disconnection was a last resort after all other options were exhausted. The company now aims to fulfill its market commitments and ensure operational stability.
The Nigerian Electricity Regulatory Commission had previously installed an Administrator and Special Board to oversee KAEDCO during a transition before the current investors took over.
The Administrator agreed to pay N20 million monthly, including statutory monthly tax payments, an agreement honored since the new management took over.
The situation underscores the urgent need for better financial management and timely payments by government entities to avoid service disruptions.
The public and stakeholders are awaiting further developments on how the Kaduna State Government will address the arrears and restore power to the affected offices.
