The Federal Government has opened talks with electricity distribution companies (DisCos) on creating Energy Zones to supply 24-hour power to homes, businesses and industries in the country’s major demand centres.
Minister of Power, Joseph Tegbe, held a closed-door meeting with the leadership of selected DisCos on the proposal, which covers the Lagos axis, the Abuja-Kaduna-Kano corridor and the Enugu-Port Harcourt corridor.
In a statement after the meeting, the ministry said the initiative is meant to tackle distribution constraints so that electricity generated and sent to the national grid reaches consumers more reliably, especially in areas with high commercial and industrial demand.
Tegbe said the sector’s problems go beyond generation and transmission to the ability of DisCos to take up and deliver available power to end users.
“The constraint on the sector is not limited to generation and transmission but includes how much power is taken up and delivered at the distribution end,” the statement quoted him as saying.
He added that the Energy Zones would help close that gap, unlock commercial and industrial demand, and improve DisCos’ revenue and collection performance.
The zones are expected to prioritise locations where reliable power is critical to businesses, manufacturing and other productive activities.
However, the statement gave no timeline for implementation, no proposed capacity for the zones and no details of the infrastructure investment needed to guarantee round-the-clock supply.
According to the ministry, the engagement is part of Tegbe’s commitment, since assuming office, to a disciplined and phased approach to the sector’s long-standing challenges.
Those at the meeting included the Abuja Electricity Distribution Company, Ikeja Electric, Eko Power, Ibadan Electricity Distribution Company and Sahara Energy Group.
The proposal comes amid continued concerns over the reliability of electricity supply and the capacity of DisCos to deliver available power to consumers.
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