09 November 2016, Sweetcrude, Lagos – The Eko Electricity Distribution Company Plc, EKEDC, has spent over N1.44 billion on projects expansion to boost electricity supply to customers in the last three years.
EKEDC Chief Executive Officer, Mr Oladele Amoda, disclosed this in Lagos at an event to mark three years of post-privatisation and government’s handing over of distribution companies to private firms.
Amoda said his company had embarked on massive rehabilitation and reinforcement of dilapidation of its network within the three years, adding that over 400 transformers have been installed in various locations to reduce load shedding.
“Over N1.44 billion had been spent on various projects expansion within the company to boost electricity supply to customers in the last three years,’’ he said.
He stated that the company also constructed five new injector substations within its network to beef up supply to major areas of the state. These, he said, would be completed in the third quarter of 2017.
According to him, “We have commenced construction of five 33/11KVA injection substations in Surulere, Ikoyi and Ajah axis which cost the company over N1 billion.”
The EKEDC boss said that over N 53 billion would be required for effective metering of customers within its network and that over N 5 billion has been spent on metering of maximum demand and non-maximum demand customers to date.
He explained that about 6,000 meters had been pencilled down for roll-out to different customers, while over 67,000 had been installed out of 187 meters delivered by manufacturer.
Commenting on the challenges faced by the company, Amoda said that energy theft and vandalism of equipment were of serious challenge to the company, noting that billions of naira had been spent on replacing vandalised equipment.
In addition to vandalism, Amoda said the company had liquidity challenges which stood at N900 billion gap due to high rate of foreign exchange and that government policies on foreign exchange made international lenders sceptical on giving loans to power industry in the country.
As at July 2016, the EKEDC CEO revealed, the Federal Government Ministries, Departments and Agencies, MDAs, were indebted to the company to the tune of over N11 billion