Breaking: NERC Dissolves Kaduna Disco Board Over N456.5bn Market Debt
Emmanuel Addeh in Abuja The Nigerian Electricity Regulatory Commission (NERC) has dissolved the board of Kaduna Electricity Distribution Plc (KAEDC) with effect from August 10, 2026, following what it described
The Nigerian Electricity Regulatory Commission (NERC) has disbanded the board of Kaduna Electricity Distribution Plc (KAEDC) as of August 10, 2026. This decision comes in response to the company's severe financial insolvency and repeated regulatory and market defaults. According to an Interim Order issued by NERC, KAEDC has amassed more than N118.6 billion in additional market debt under ASI Engineering Limited, bringing its total market obligations to around N456.5 billion.
In 2025, KAEDC only remitted 41.93% of its adjusted market invoices, while its Aggregate Technical, Commercial, and Collection (ATC&C) losses reached 71.88%. The commission also noted that KAEDC's capital investment was only N2.48 billion, compared to the required N24.51 billion, and that customer metering coverage remained below the acceptable threshold of 36%.
To ensure KAEDC's operational stability and uninterrupted electricity distribution in its franchise area, NERC has formed an interim board of special directors. Dr Abdullahi Garba has been appointed as the chairman of this new board. Additionally, Afrexim Bank will oversee a transparent 12-month competitive process to identify a qualified core investor replacement for KAEDC.
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