The House of Representatives has issued a stern 72-hour ultimatum to three major electricity distribution companies over their alleged failure to remit over N100 billion owed to the Federal Government.
Three DisCos Face Legislative Sanctions
During a public hearing in Abuja on Monday, the Public Accounts Committee (PAC) summoned the managements of Ibadan Electricity Distribution Company (IBEDC), Benin Electricity Distribution Company (BEDC), and Port Harcourt Electricity Distribution Company (PHEDC). The lawmakers accused the companies of repeatedly ignoring invitations to explain the massive debt, an act they described as deliberate contempt of the legislature.
The committee, chaired by Hon. Bamidele Salam of Ede North/Ede South/Egbedore federal constituency in Osun State, warned that stiff sanctions await the DisCos if they fail to appear before it on Thursday, December 18, 2025.
Part of a Wider N2.6 Trillion Probe
This summons is not an isolated event. It forms a critical part of a broader investigation launched by the committee on August 20, 2025. Initially, eleven electricity distribution companies were invited to account for a staggering total debt of N2.6 trillion allegedly owed to the Federation Account.
The liabilities, identified in the Auditor-General of the Federation's reports for the 2021 and 2022 financial years, pertain to unremitted revenues and other statutory obligations. While some DisCos have engaged with the committee, IBEDC, BEDC, and PHEDC have been notably absent.
Hon. Salam expressed deep concern that some of these debts have lingered for more than a decade, emphasizing the urgent need for recovery to bolster public finances.
Enforcing Accountability in the Power Sector
The committee stressed that its actions are driven by its constitutional mandate to scrutinize entities that manage public funds. The goal is to enforce accountability and transparency without disrupting legitimate business operations.
Lawmakers highlighted that ensuring compliance from electricity distributors is particularly crucial due to the strategic importance of the power sector and the enormous scale of public funds involved. The committee noted that its recent efforts have already spurred improved remittances and a renewed focus on fiscal discipline.
This legislative move occurs against a backdrop of ongoing challenges in the electricity market. Interestingly, while DisCos are being pursued for debt, they also face their own collection issues. The Association of Nigerian Electricity Distributors (ANED) has previously disclosed that about 20 state governments owe for electricity consumed by their offices and facilities.
In a related development, data from the Nigerian Electricity Regulatory Commission (NERC) for Q2 2025 showed that DisCos collectively improved their bill collection, receiving N564.71 billion out of N742.34 billion billed. PHEDC was noted for a significant quarter-on-quarter improvement, raising its collection efficiency to 70%.
