• Friday, March 29, 2024
businessday logo

BusinessDay

FG mulls forensic audit of DISCOs’ account

Social versus commercial good: what service-reflective tariffs mean for Nigeria’s electricity market

Following its dissatisfaction with reported claims of the current level of investments in the electricity sector by the Power Distribution Companies, the Federal Government on Thursday said it would carry out a detailed forensic audit of the accounts of the DISCOs.

The aim is to enable government to know how much that has been invested in the power sector so far by all the various stakeholders since the 2013 power privatization exercise

This is just as the Federal Government also directed all the State governments to furnish it with total investments they have committed into the power sector so far.

Deputy Governor of Edo State, Philip Shaibu disclosed this while briefing State House Correspondents after the Monthly National Economic Council NEC meeting presided over by Vice President Yemi Osinbajo at the Council Chambers of the Presidential Villa, Abuja.

READ ALSO: FG concedes to Labour on tariff, to pay N15bn subsidy for three months

Shaibu who was flanked at the briefing by Lagos State Governor, Babajide Sanwo – Olu and Ebonyi state Governor, Dave Umahi, also directed state governments to furnish the NEC committee headed by Nasir El- Rufai, the total investments of each state before the end of March.

Shaibu, while providing update on the ownership structure of electricity distribution companies, said NEC, a body comprising the federal and governments of the 36 states of the federation approved requests by the El- Rufai committee to carry out “comprehensive forensic audit of bank accounts of DISCOs, also directed States to file account of their investments in the DISCOs to-date”.

“The committee requested for additional two months to enable it to complete its assignment

Explaining while the Excess Crude Account fell from $325m to the current paltry $71.813m, Ebonyi State Governor, Dave Umahi said the Governors had agreed to invest the sum of $250m on infrastructure development through the Nigeria Sovereign Investments Authority, NSIA, while the remainder was used to pay consultants investigating the NNPC accounts.