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Home Economy

Aso Villa, DHQ, CBN face disconnection over N47bn debt

Victoria Attah by Victoria Attah
February 20, 2024
in Economy, Politics
Reading Time: 1 min read
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Aso Villa, DHQ, CBN face disconnection over N47bn debt
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No fewer than 86 ministries, agencies, and departments of the Nigerian government are collectively indebted to the Abuja Electricity Distribution Company (AEDC) to the tune of N47 billion, according to a public notice issued by the management of the AEDC.

The notice, issued on Monday, revealed a broad spectrum of entities owing significant amounts, including the Presidential Villa, which owes N923.9 million, and the National Security Adviser, in debt to the tune of N95.9 billion. Additionally, the Ministry of the Federal Capital Territory, supervised by Governor Nyesom Wike, owes approximately N7.57 billion.

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The AEDC threatened to disconnect the defaulting ministries, agencies, and departments within 10 days if they fail to settle their outstanding debts. Notably, the Chief of Defence Staff barracks and military formations have accumulated a substantial debt of N12 billion, while the Ministry of Finance is indebted to the tune of N5.43 billion.

Minister of Power, Adebayo Adelabu, whose ministry is among the debtors, has expressed concerns about unpaid debts affecting the nation’s power sector, emphasizing the need for a cost-reflective tariff. However, his media aide, Bolaji Tunji, clarified that the minister consistently approves the payment of electricity bills and may have inherited the debt from his predecessors.

While some ministries and agencies have promptly responded to the notice, others, including the Federal Airports Authority of Nigeria (FAAN), are yet to provide a response.

The looming disconnection underscores the financial strains faced by both government agencies and the power sector, highlighting the urgency for resolving outstanding debts and ensuring the sustainability of electricity supply across the country.

The news comes amid ongoing efforts to address challenges within the Nigerian power sector and underscores the importance of fiscal responsibility and accountability in managing government finances.

Tags: Abuja Electricity Distribution CompanyAEDCAso VillaCBNDebtDHQMinistry of Finance
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