AEDC receives accolades for good corporate governance practice.
Management of Abuja Electricity Distribution Plc has been applauded for its strict adherence to good corporate governance structure and audit compliance practice in the management of the Company even as the acting Director General of the Bureau of Public Enterprises – Dr. Vincent Onome Akpotaire has described good corporate governance ‘’as being fundamentally central to building competitive economies, reducing corruption and creating jobs and wealth with the overall antidote of eliminating poverty in an economy like ours confronted with myriad challenges of declining infrastructure’’.
At a corporate governance workshop organised for the successor companies in distribution and generation by the Bureau for Public Enterprises, Mr David Parish, Adviser to the Bureau on corporate governance disclosed that the Abuja Electricity Distribution Plc has shown itself as a trailblazer in the area of governance structure and audit compliance, urging industry participants to learn how AEDC achieved the transformation within 3years.
Earlier in his welcome address, acting Director General of the Bureau of Public Enterprises – Dr. Vincent Onome Akpotaire said ‘’the increasing need for the successor electricity companies to enshrine the concept of good corporate governance as an essential policy for their transformation and effectiveness makes this workshop imperative.
Speaking on the challenges currently facing the privatised distribution and generating companies, Dr. Akpotaire said the inordinate delay in submitting audited reports, compliance with post acquisition plans have made it necessary to strengthen the skills, competencies and abilities of Board members in order to facilitate better performance and efficiency in tackling the aforementioned challenges.
Expressing the hope that the workshop will stir a dialogue towards developing a deeper understanding of contemporary issues confronting Board Members, the acting Director General said programmes such as the workshop will make important contribution to the process.
Abuja Electricity Distribution Plc was represented at the workshop by Mr. John Albert Jones, chairman for the Finance Committee of the Board, Alhaji Audu Uba Mohammed, Chairman Audit Committee of the Board and Engr. Ernest Mupwaya, Managing Director/CEO of AEDC.
AEDC’S METERING PLAN- JUNE 2016
AEDC Plc has developed a plan to meter all its customers to reduce non-technical losses on the network, and improve operational efficiency and accurately bill and collect the revenue accruable for the services rendered.
In this regard, AEDC Plc publishes herein details of its plan to meter its small power users from now to 2019.
Monthly Metering Schedule for small power users (Non MD Customers)
This plan is, however, subject to modifications as necessitated by prevailing conditions.
Reach us on social media through:
Website: www.abujaelectricity.com Twitter: @aedcelectricity
Our Customers are also requested to note that they can now buy electricity online from any of the following websites:
AEDC MANAGEMENT SETS UP FACT FINDING TEAM ON LUGBE ACCIDENT
- Victims visited by Fact finding Team
An 8 man Investigative Team set up by Abuja Electricity Distribution Company (AEDC) to unravel the circumstances surrounding the electrical accident that took place in Angwan Tiv, a neighbourhood of Tudun Wada area of Lugbe on the 2nd of July has visited the scene of the incident and has subsequently visited the accident victims that have been admitted at the AEDC referral hospital, Cedar Crest at APO. Two of the victims who sustained minor injuries have been treated and discharged while the third person, Mr Pius Moses is still receiving treatment.
The team also visited the families of the three deceased persons. However, the family of Mrs. Justina Onome Iyelih, one of the deceased was not at home when the team members visited to commiserate with them. While there, the Chairman of the Panel – Engineer Mohammed Ainoko Sule commiserated with the bereaved families. He also disclosed that AEDC Management will pick up the medical bills of all the accident victims that have been treated and those still undergoing treatment, while praying that God will give the families of the deceased the fortitude to bear the loss of their beloved ones.
While inaugurating the panel on Monday in Abuja, the Director, Risk and Compliance of the AEDC, Mr. Collins Chabuka said that the decision of the Company to set up its own committee to investigate the incident was without prejudice to the ongoing probe by the Nigerian Electricity Regulatory Commission (NERC), but was in line with the internal AEDC Incident Reporting and Investigation Procedure Guidelines and industry best practice. It is AEDC’s internal Health and Safety Policy requirements that all accidents are investigated by independent internal competent persons with industry background, competence and knowledge. The purpose of the investigations is to highlight the shortcomings that may have led to the incident and also to recommend industry best practice remedial measures to prevent a recurrence.
Describing the incident as “most unfortunate”, the AEDC Director, said that the Company had complied with regulatory requirements by officially notifying NERC and the Nigeria Electricity Management Services Agency (NEMSA) about the accident, and that AEDC’s officers are already cooperating with the Regulatory bodies in their investigations into the incident.
Mr. Chabuka, said further that from preliminary reports received so far, three people were confirmed to have died as a result of the incident, contrary to claims in some sections of the media. “For the avoidance of doubt, we need to state that preliminary reports on the incident confirmed that three people died, while two persons were treated and immediately discharged and a third person is still receiving treatment”. He also described as “untrue”, claims in the media that the accident was caused by an explosion from a transformer serving the Angwan Tiv Community, stressing that preliminary reports show that an 11-Kv wire snapped and fell on a metallic channel iron that sent high voltage to the residents of the customers who were electrocuted and injured.
He, therefore, used the opportunity to encourage media practitioners to always cross check their facts before publishing stories, especially on sensitive issues relating to human life.
The terms of reference of the Investigative Panel set up by AEDC include:-
- To establish the root causes of the incident.
- Conduct a technical assessment of the equipment and the supply network and advise whether the equipment and network operated normally during the incident, and
- Identify remedial measures to prevent a recurrence.
The investigative panel is being chaired by Engineer Mohammed Ainoko Sule, an experienced professional in the Nigerian Electricity Industry professional with over 25 years’ experience in Distribution Network Operations, Maintenance and Protection System. Also among members of the team are the Regional Head of Operations in FCT, Engineer Eze Obunmnaeke, AEDC Head of Health and Safety, Engineer Dirisu Biodun, Team Lead, Security, FCT, George Williams.
Other members of the Panel are Head, Industrial Relations, Joseph Adeniyi, Head, Public Relations and Media, Ahmed Shekarau, Team Lead, Legal Services, Mrs. Pamela Chidobelu, and the Regional Team Lead, Health and Safety, Kogi Region, Godwin Okwuwe, who serves as Secretary to the team. The Panel has two weeks to submit its report.
Abuja Electricity Distribution Company
‘’AEDC is not pushing for any percentage increase in electricity tariff’’ – Engr. Abimbola Odubiyi.
The attention of Abuja Electricity Distribution Company has been drawn to the story in a section of the media today, 12th July, 2016, saying that Electricity Distribution Companies are alleged to have written to the Nigerian Electricity Regulatory Commission (NERC) pushing for an upward review of electricity tariffs by 100%.
We wish to state unequivocally that Abuja Electricity Distribution Company (AEDC) did not write to NERC to demand for further review of electricity tariffs, since after the Commission approved the recent increase, which took effect from 1st of February, 2016.
Also, AEDC did not mandate any group or body to write to NERC on its behalf to demand for a 100% or any percentage whatsoever in tariff hike. We, therefore, advise our esteemed customers to disregard any such statement about a purported bid for a further tariff increase, and use this opportunity to reassure them that as a good corporate citizen, AEDC remain committed to the strict implementation of the recent NERC-approved tariff.
The United States Agency for International Development (USAID) and three Nigerian Electricity Distribution Companies (Discos) have signed N1.8bn ($9m) agreement to boost power distribution in Nigeria.
The two-year agreement was signed between the U.S. Ambassador to Nigeria, James Entwistle and representatives of the Abuja, Benin and Eko distribution companies.
The Managing Director, Benin Disco Mrs Olufunke Osibodu, the Board Chairman, Eko Disco Mr Charles Momoh, and the Board Chairman, Abuja Disco Amb. Shehu Malami, signed on behalf of their companies.
The Minister of Power, Works and Housing, Mr Babatunde Fashola, who was represented by Lanre Akinsola, described the agreement as another big step towards achieving the country’s roadmap in the first phase of incremental power supply by improving the performance of the Discos.
AEDC BOSS CANVASSES FOR IMPROVED ELECTRICITY SERVICE DELIVERY
The Chairman of Abuja Electricity Distribution Company (AEDC), Amb. Shehu Malami yesterday appealed to industry operators to help in the improvement of electricity service delivery in the country.
Malami who is the AEDC Board Chairman spoke at the launch of an initiative by the United States government and three electricity Distribution companies (Discos), Abuja, Eko and Benin Discos in Abuja.
He identified the challenges in the power sector to include boosting power supply, improving customer services and reducing market losses.
He said: “We must not fail. With this new initiative, we will receive support from experienced professionals – these are persons who will live and work with us, side by side, and whom have had the hand’s on experience of helping to improve performance and customer services for struggling Discos in other countries.”
The initiative led by the United States Agency for International Development (USAID) in partnership with Abuja, Eko and Benin Discos will be executed through signed pacts.
REVISED PRESS STATEMENT ON RECRUITMENT MATTERS ON 19TH OCTOBER 2015
On Friday 16th October 2015, a malicious article was published online by Premium Times alleging remuneration disparity amongst workers of Abuja Electricity Distribution Company (AEDC), excessive directors’ emolument, and conflict of interest by a consulting firm rendering services to our Company.
AEDC’s Board of Directors and Management would like to clarify that:
- The Chairman of the Board of Directors of AEDC is Ambassador Shehu Malami, OFR, CON and not Mr. Siyanga Malumo as quoted.
- No member of the AEDC Board of Directors receives N36 million remuneration monthly as quoted in the story.
As a company committed to good corporate governance and best practice in all aspects of our operations we will, with immediate effect, institute investigations through independent auditors on the allegations of conflict of interest of the consultancy firm mentioned in the article.
In addition, appropriate actions will be taken against any of our officers found to be culpable in these matters under investigation.
AEDC strives to provide a fair and conducive workplace where all its employees can thrive.
We wish to assure all our stakeholders of Management’s unwavering commitment to international best practices in all our operations as we grow AEDC into a World Class Company.
CONSULTATION PAPER ON AEDC TARIFF REVIEW 2015
Consultation Paper on Tariff Review By [Abuja Electricity Distribution Company] June 2015
1. Key Messages
Why do the prices need to be reviewed again?
In the past, electricity prices have been lower than the costs of running the electricity businesses. This is why not enough money has been spent improving power supply. We have all suffered.
The prices in the past were supposed to cover costs, but they did not cover all the cost of losses. These losses are partly because of the old wires in the network, but mainly because of people stealing electricity or not paying bills, and also errors in the information we have about our customers.
In November 2013, when we took over this company, which has suffered many years of neglect by its previous owner, we made promises to make things better. In return for our promises, government promised that the prices we charge you for electricity will cover all our costs.
At the moment, our prices don’t cover all our costs. That means we have no money left over to spend on keeping our promises. It also means we can’t pay the generating and transmission companies all the money they need to supply more electricity
When will I get more electricity?
We get your electricity from generators, which is brought to us by the Transmission Company of Nigeria (TCN). The generating companies and TCN are independently owned and not controlled by us. By making sure we pay the generators their bills and charges, we hope they can buy enough gas to fire their generators, fix old generating equipment and pass the power to TCN, which also need more money to fix its wires and equipment before the power can get to us and you getting more electricity. We also want to sign up new generators in our area and nationally. We can’t directly control how much electricity we get, but with your support and understanding, we will do everything we can to get as much electricity as possible to you.
More electricity is important for all of us. A lot of our costs don’t depend on how much we supply. That means if we get more electricity and collect more money from people who don’t pay, we will be able to reduce our prices to all our customers.
Does that mean electricity prices are going up now?
We have come up with principles for how we will set prices to be fair to our customers. We hope our prices will be affordable to you now and in future.
We don’t set our prices on our own. We are regulated by the Nigerian Electricity Regulatory Commission, who will decide if what we ask you to pay is fair. To make sure we get this right, we want to hear what you think.
Even though we are losing money, we will set our price to the amount that will cover our cost as agreed with the Regulator.
To cover the money we are losing in our business, we will keep prices to the level that will enable us to serve you better, and in the process strive to reduce our costs. We will spread the period to recover our losses and costs to 10 years, so as to prevent any surprises. After 10 years, prices will be reviewed and we hope to continue to offer you prices you can afford.
We will still be losing money for a few years. But we can keep our promises to install meters and connect new customers because you agree to pay us prices enough to cover our costs of operation, whilst we reduce our costs.
We think this is fairest for everyone.
Might prices change again after this review?
Our principles will stay the same for 10 years, with a full review after 5 years.
There will be two smaller reviews each year to include changes we can’t control, like fuel prices, inflation, exchange rates and electricity generated from generators we don’t control.
We welcome your views and inputs on our plans. Please read this consultation document and let us know what you think. We look forward to your comments on or before 3rd of July, 2015.
In the past, electricity prices have been lower than the costs of running the electricity business. This is why not enough money has been spent improving power supply.
The prices in the past were supposed to cover costs. But they did not cover all the cost of operations and losses. These losses are partly because of the old wires in the network, but mainly because of people stealing electricity or not paying their bills, and also errors in the information we have about our customers.
We made promises as part of a Performance Agreement to make things better when we took over the company.
In return for us agreeing to meet these obligations under the Performance Agreement we signed with the Bureau of Public Enterprises (BPE), we were promised that the prices we charge our customers for electricity will cover all our costs. This is part of the Electric Power Sector Reform Act, 2005 (EPSRA) that requires NERC to formulate a credible and cost reflective tariff.
At the moment, our prices don’t cover all our costs and we are incurring losses. That means we have no money left over to spend on keeping our promises in the Performance Agreement. It also means we can’t pay the generating companies, TCN and others we do business with in the electricity market all the money they need to supply more electricity to you.
We don’t set our prices on our own. We are regulated by the Nigerian Electricity Regulatory Commission (NERC), who will decide if what we ask for is fair for all our customers. NERC has agreed with Discos to allow a new tariff review to ensure a workable cost reflective tariff that will restore confidence in the market to all stakeholders.
We have come up with principles for how we will set prices to be fair to our customers. We have come up with an approach that means we hope our prices will stay the same as they are now.
This consultation paper is designed to give you the information you need to understand the principles we will follow in reviewing our prices and for you to comment on our approach.
To make sure we get this right, we want to hear what you think. We are starting our tariff review by consulting with all relevant stakeholders.