BANKS GET MARCHING ORDER TO SELL-OFF DISCOS’ SHARES

Banks holding majority stakes in six electricity distribution companies (DisCos) yesterday got a marching order from the Federal Government to divest within 12 months.

Minister of Power, Abubakar Aliyu, who gave the ultimatum, said the government was monitoring the operations and divestment process of the six DisCos to ensure compliance with the core objectives of restructuring the power firms.

He said the banks have been mandated to find serious investors to sell their 60 per cent equity in the Abuja, Kano, Kaduna, Benin, Ibadan and Port Harcourt DisCos.

Aliyu spoke in Abuja at the 11th edition of the ‘PMB Administration Scorecard Series (2015-2023)’ organised by the Federal Ministry of Information and Culture.

He disclosed further that the government sacked the previous core investors to make them more responsible, and the government was determined to put the DisCos on their feet.

According to him, restructuring of the six Discos included the sacking of the previous core investors due to poor performance and the composition of a new board and management to run them.

Nigerians can cut costs by being careful about how they manage and use electricity, noting that the government was doing its best to protect lower-income citizens because of the nexus between lack of access to electricity and poverty.