Reps Panel Probes N200bn CBN Loan to DISCOs
The House of Representatives is to investigate disbursement and utilisation of the N200 billion Naira Central Bank of Nigeria (CBN) loan for National Mass Metering Programme (NMMP) to Electricity Distribution Companies (DISCOs)
The Chairman of the Committee, Rep. Uchenna Okonkwo (LP-Anambra) made this known in a statement issued on Wednesday in Abuja, adding that 19-member committee had been inaugurated for the purpose.
He said that the main objective of committee was to carry out investigation on the programme earmarked upon in 2020, to enable the Licensed Electricity Distribution Companies provide electricity meters free for Nigerian electricity consumers.
According to him, it is on record that NMMP was introduced in 2020 by CBN in collaboration with Nigeria Electricity Regulatory Commission (NERC) and other key stakeholders in Nigerian Electricity Supply Industry (NESI).
He explained that the aim was to help manage conflicts between energy users and distribution companies and to facilitate the elimination of arbitrary billing, closing metering gaps, and improving network monitoring within NESI.
The rep said that the programme was to be implemented in three phases to ensure the reduction of collection losses and improve market remittances in the industry.
“Under the pilot phase of the programme’s implementation, CBN commenced with the sum of N59.280 billion for procurement and installation of one million meters in 2020 at an interest rate of 9 per cent after a two year moratorium.
“Preliminary research on the NMMP has shown that instead of the pronounced amount of N59.280 billion naira for the phase 0, what was released was N55.4 billion for procurement and installation of 962,832 meters instead of one million meters pronounced by CBN.
“Research has also shown that what the eleven Electricity Distribution Companies who received the loan has paid back to CBN as refund for the N54.4 billion they received in 2020 without mentioning the 9 per cent interest on the loan.
“This calls for explanation as to how the fund managers handled the NMMP for national interest.
“Also of concern the phase 1 of the NMMP which CBN and Deposit Money Banks (DMBS) were to fund for procurement and installation of 1,500,000 meters, as well as, the phase 2 of NMMP which the World Bank was to fund for procurement and installation of 4,000,000 meters has not been addressed.
“Having considered the effect of the above situation on the nation’s economic and social development, as well as transparency and accountability in the management of public funds, the house relying on its powers contained in Sections 88(1) and (2) of the 1999 Constitution, decided to set up Sub – Committee to investigate the disbursement and utilisation of the N200 billion naira CBN loan for NMMP to DISCOs,” he said.
Members of the committee include, Rep. Obed Shehu, Rep. Ali Shettima, Rep. Abel Fuah, Rep. Salisu Koko, Rep. Ahmed Munir, Rep. Sani Umar Bala, Rep. Gbefwi Jonathan, Rep. Abdulmaleek Danga, Rep. Chinedu Obika and . Rep. Okunlola Lanre.
Others are Rep. Abass Adekunle, Rep. Akinosi Akanni, Rep. Obuzor Victor, Rep. Peter Akpanke, Rep. Ngozi Lawrence. Rep. Ogah Amobi Godwin, Rep. Ikeagwuonu Onyinye among others. #Reps Panel Probes N200bn CBN Loan to DISCOs Selloffs: Nigeria’s Sovereign Eurobond Yield Rises to 10.6%
