Several state governments have strongly criticised the Enugu Electricity Distribution Company (EEDC) over significant electricity cuts to MainPower Electricity Distribution Limited, which supplies power to residents of Enugu State.
In response, the states have vowed to begin licensing new power distribution companies to break the existing monopolies. They accused EEDC of using the power supply as a tool for “blackmail” and “arm-twisting” following a recent tariff reduction.
The states emphasised their legal authority under the Electricity Act to regulate electricity tariffs within their jurisdictions and insisted they would not yield to pressure from the Discos.
The Forum of Commissioners of Power and Energy in Nigeria condemned EEDC’s action, noting that the supply cuts came after the Enugu Electricity Regulatory Commission enforced a tariff cut on August 1, resulting in a four-day blackout in parts of the state.
Meanwhile, existing distribution companies dismissed concerns about potential competition from new entrants, arguing that electricity cannot be sustainably sold below cost.
