By Tochukwu Bliss, Abuja
The House of Representatives, yesterday, said it will open an investigation into the disbursement and utilisation of the N200 billion loan granted by the Central Bank of Nigeria (CBN) to electricity Distribution Companies (DisCos), for the National Mass Metering Programme.
The Chairman of the Committee, Uchenna Okonkwo, in a statement on Wednesday, revealed that a 19-member committee had been inaugurated for this purpose.
The lawmaker recalled that the NMMP was introduced in 2020 by CBN in collaboration with the Nigeria Electricity Regulatory Commission (NERC), and other key stakeholders in the Nigerian Electricity Supply Industry (NESI).
He noted 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.
Mr. Okonkwo said the programme was to be implemented in three phases to reduce collection losses and improve market remittances in the industry.
Preliminary research on the NMMP has shown that, instead of the pronounced amount of N59.280 billion 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.
He said: “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 nine per cent after a two-year moratorium.
“Preliminary research on the NMMP has shown that, instead of the pronounced amount of N59.280 billion 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 11 Electricity Distribution Companies who received the loan have paid back to CBN as refund for the N54.4 billion they received in 2020 without mentioning the nine per cent interest on the loan.
“This calls for an 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.”
Mr Okonkwo informed that the probe became imperative 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.
Accordingly, he said that 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 CBN loan for NMMP to DISCOs.
