|Mr. Babatunde Fashola|
The Minister of Power, Works and Housing,
Mr. Babatunde Fashola, said of all the problems facing power sector in Nigeria, chronic illiquidity was still top on the list.
The minister said increasing electricity tariffs of consumers and demanding for clearance of debts owed the electricity distribution companies (Discos) alone will not solve power sector’s financial problems.
Fashola stated that the inability of the 11 electricity distribution companies to take enough revenue from electricity consumers in the
country, and reduce their collection losses were hugely impacting on the sector’s monthly financial outlook.
prompt and maximum collection of revenues from adequately metered consumers would go a long way in addressing the financial challenges.
He also said the current foreign exchange (forex) regime of the country was affecting the operations of the power sector.
However, he explained that such financial challenge, offers operators in the sector the chance to creatively find solutions instead of looking for easy ways out.
He equally urged operators in the power sector begin to look inwards to get
equipment they need to operate from local manufacturers instead of relying on importation which he said places immense pressure on the country’s foreign reserves.