The ongoing crisis between manufacturers in Kano, Jigawa and environs and their utility company, Kano Electricity Distribution Plc (KEDCO), has degenerated, with the latter accusing manufacturers of continuous antagonism, vowing to withdraw all support.
In a statement by its Head of Corporate Communications, Sani Bala Sani, the DisCo said it is disappointed over the consistent antagonism from the Manufacturers Association of Nigeria (MAN) Kano Branch, despite sustained efforts to provide them with a stable power supply and exclusive discounts to the tune of N3 billion in the last 12 months.
The company maintained that it had transitioned most industries, manufacturing outfits and industrial schemes per MAN’s request, to a stronger band that gives them at least 20 hours of power daily.
They said, despite their efforts, MAN said they want to receive direct supply from the Niger Delta Power Holding Company (NDPHC). Sani said this action will not impact their commercial operations. He went on to add that MAN Kano, last year, discouraged its members from paying the regulatory-approved tariffs and instead, dragged KEDCO to court.
“Despite the rancour and huge losses accrued due to customer apathy, we offered them exclusive discounts in the form of a discounted transition tariff to support manufacturers and allow them to adjust to the new market realities in a structured manner.
“We do not regret this, as we view our industrial and manufacturing customers as the most important customer group, as they provide jobs and economic output. Despite extending these discounts to key feeders, including 33kV Dangote, 33kV Dr Jamil, 33kV Flour Mills and 33kV Coca Cola, all serving predominantly MAN members, KEDCO was still experiencing losses of about N2.5 billion monthly on average on feeders assigned to Maximum Demand Industrial (MDI) customers due to energy theft.”
He claimed that all attempts to have MAN support an aggressive stance against members on an energy theft reduction programme proved unsuccessful, as it reportedly did nothing to support them in managing the menace on industrial feeders.
“Sadly, MAN is painting a false narrative to NDPHC and other stakeholders. Our maximum demand industrial customers (MDI) receive an average of 20 hours daily on our 50 industrial feeders across Kano, Katsina and Jigawa states.
“We will no longer support MAN, as they have repeatedly failed to rise to our expectations. We encourage NDPHC to work more constructively in the market and align engagements with the realities of the electricity market for the collective benefit of the country,” the spokesman added.
Reacting, MAN Bompai/Jigawa branch chair, Mohammed Bello Umar, stated that manufacturers would not respond to blackmail or threats.
“If they do not want to support us anymore, then they should tell the world they don’t want to support industries. We simply attended a meeting with NDPHC, and are exercising our constitutional right to source alternative energy partners that can provide us better and more affordable service, especially bulk-power purchase,” he explained.
Noting that they are simply protecting members’ interests, Umar said they appreciate the discount given to them by KEDCO, adding that they have also reciprocated.
Reacting to allegations of energy theft, he said they are baseless accusations and challenged the DisCo to provide proof. “We are businesspeople and not thieves. KEDCO should list the people responsible for this energy theft they speak of and pursue them aggressively; we will support them. We are not their enemies but partners in progress. We only said we want cheaper energy; we are not fighting them, and there is no need for all these harsh words. Everything we’re doing is within the confines of the law, but as I said, we will not be threatened as we are not doing anything illegal,” the branch chairman stated.