NERC Commends AEDC For Innovations, Improved Power Distribution Services

The Nigeria Electricity Regulatory Commission (NERC) has commended the Management and Staff of the Abuja Electricity Distribution Company (AEDC) for the giant strides it has accomplished in distribution sector of the power industry.

The Chairman of NERC, Professor James Momoh, who made the commendation further urged AEDC to ensure sustainability of all the innovations and progress of work it has so far achieved.

Professor Momoh and other top officials of NERC who were on a fact finding visit to the AEDC Corporate Headquarters, had earlier been taken through on elaborate explanation of the AEDC’s programmes, projects, achievements and challenges by the Managing Director, Mr. Ernest Mupwaya.

In reference to the presentation made by Mr. Mupwaya on the operations of the AEDC, Prof. Momoh noted that from what he has seen and observed, most of the things or theoretical works in power distribution are being put into practical application by the AEDC.

He said, “So, one thing I want to say to encourage you is one, sustainability. What you have started must be sustained. You cannot afford to expect to solve new problem with old technologies and expect it to work.

Growing sector called Nigeria Electricity Supply Industry (NESI) is becoming a new challenge and unless we think out of the box, we cannot handle it.

“And I believe what I have seen and heard this afternoon, is great effort by AEDC trying to address the new challenge whether it is in the short term, medium term or long term; using out of the box technics.

“For AEDC, you have shown that our power sector and amenities, will very soon be compared with world class distribution companies anywhere in the world.”

Prof. Momoh further advised AEDC to ensure that their scope of innovations in power distribution is extended to their other franchise areas such as Kogi, Nasarawa, Niger States so that there won’t be complaints of inefficient services from them.

He said the AEDC should also work in concert with other stakeholders such as the Transmission Company of Nigeria (TCN) to avoid blame games.

Earlier in his presentation, AEDC Managing Director, Mr. Ernest Mupwaya, revealed that the company through its operations have reduced the Aggregate Technical Collection Cost and Collateral Loss (ATC &C) from 56 percent 2014 to 22.73 Percent in October 2020.

He said AEDC has installed network capacity of about 870 MW and had current total meter installation of about 300,000 just as the company is presently operating over 99 percent cashless transactions.

Mupwaya said that AEDC strategy is to reduce energy poverty and increase electrification rate in Nigeria, adding however that the greatest challenge had been tariff.

He commended NERC under the leadership of Prof. Momoh for seeking to solve this great challenge with the introduction of reflective tariff, the first of its kind in the world.