House OK's ₦248.6B debt relief for Kano, Jos, Ikeja electricity DisCos
House of Representatives Public Accounts Committee endorsed financial relief measures for Kano, Jos, and Ikeja Electricity Distribution Companies, including waiving N128.58 billion in accrued interest from 2015-September 2025 and restructuring N120.06 billion in historical liabilities over 10 years. Total package worth ₦248.64 billion.
The combined indebtedness of all 11 electricity distribution companies surged to ₦1.304 trillion by September 2025, with Kaduna Disco having the highest exposure at ₦303.81 billion. Following disputes over interest charges, NERC suspended interest on invoices from 2015-2020 but allowed charges from 2021 onward.
Committee also recommended transferring ₦13.4 billion in government intervention liabilities to Nigerian Electricity Liability Management Company. Chairman Bamidele Salam warned that without restructuring, 'the financial viability of Nigeria's electricity distribution sector could remain under threat.' This intervention may impact electricity tariffs and reliability nationwide.