FG To Revoke Meter Contract From Foreign Company

• FG To Revoke Meter Contract From Foreign Company.

• $200 million mobilized, but three million meters still pending.

• Gas supply shortage hampers power generation despite government debt to suppliers.

EKO HOT BLOG reports that the Federal Government has hinted that it might revoke a meter contract awarded to a foreign company named Zigglass Limited.

The Minister of Power, Adebayo Adelabu, made this known on Monday in Abuja when the members of the Senate Committee on Power visited the Ministry.

EDITOR’S PICKS

• BREAKING: Olusegun Alebiosu Appointed As Acting MD Of First Bank
• New Minimum Wage: NLC Proposes Sanctions For Defaulting Govs
• Soldiers’ Bodies Recovered After Clash With Suspected Bandits In Niger

Adelabu said the federal government had mobilised the company with $200 million (N32 billion) to supply three million meters that were yet to be supplied to date.

According to Adelabu, President Bola Tinubu directed that the contract be revoked and should be awarded to a competent company.

If you held N32 billion for these years, where is the interest?” he asked.

The minister said the government will bridge the current eight million metering gap in the next four to five years.

Adelabu noted that the metre funding comes from a seed capital of N100 billion and N75 billion.

FG To Revoke Meter Contract

He added that the Nigerian Sovereign Investment Authority (NISA) is providing the ministry with the fund.

Speaking further, Adelabu said gas suppliers have refused to supply more gas because of the debt the federal government owes.

He told the committee that the federal government owes generation companies over N1.3 trillion and gas suppliers $1.3 billion, and urged lawmakers to address the debt matter.

FURTHER READING 

• Hope And Caution: Nigeria’s Energy Sector Braces For Refinery Resurgence And Price Shifts
• JAMB Sanctions Officials Over Harassment Of Hijab-Wearing Candidate
• Tinubu To Open African Counter-Terrorism Summit In Abuja

In her presentation, Executive Director of Independent System Operator (ISO), Nafisat Ali, said gas has become a major constraint in the industry, adding that DisCos were still rejecting load despite the power shortage in the country.

He said: “Today there is no gas. We need gas.

“The DisCos don’t abide by allocation. That is the challenge.”

Click to watch our video of the week

---

Advertise or Publish a Story on EkoHot Blog:

Kindly contact us at ekohotblog@gmail.com. Breaking stories should be sent to the above email and substantiated with pictorial evidence.

Citizen journalists will receive a token as data incentive.

Call or Whatsapp: 0803 561 7233, 0703 414 5611