Tinubu Govt Considers Revoking Meter Contract From Foreign Company

Tinubu Govt Considers Revoking Meter Contract From Foreign Company

The Federal Government has hinted at the possibility of revoking a meter contract awarded to a foreign company named Zigglass Limited……READ ALSO Edun — Tinubu Govt Has Not Borrowed From CBN

The Minister of Power, Adebayo Adelabu, made this known on Monday in Abuja when the members of the Senate Committee on Power visited the Ministry.

Adelabu stated that the federal government had mobilized the company with $200 million (N32 billion) to supply three million meters, which are yet to be delivered to date.

President Bola Tinubu directed that the contract be revoked and awarded to a competent company, Adelabu revealed.

“If you held N32 billion for these years, where is the interest?” he questioned.

The minister emphasized the government’s commitment to bridging the current eight million metering gap within the next four to five years. He mentioned that the meter funding comes from a seed capital of N100 billion and N75 billion provided by the Nigerian Sovereign Investment Authority (NISA).

Adelabu also addressed the issue of debt owed by the federal government to generation companies and gas suppliers, amounting to over N1.3 trillion and $1.3 billion respectively. He urged lawmakers to address this debt matter.

In her presentation, Executive Director of Independent System Operator (ISO), Nafisat Ali, highlighted gas constraints in the industry and noted that DisCos were still rejecting load despite the power shortage in the country.

She emphasized the crucial need for gas supply, stating, “Today there is no gas. We need gas. The DisCos don’t abide by allocation. That is the challenge.”

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