The Kaduna State Government House and other state government buildings no longer receive energy from Kaduna Electric because outstanding invoices totaling N2.9 billion have not been paid.
In a statement released on Friday, AbdulAzeez Abdullahi, Head of Corporate Communication, stated that prior to sending out a disconnection notice on July 21, Kaduna Electric made several attempts to address the problem, including talks with state representatives.
The Kaduna Electricity Distribution Company was sealed by the Kaduna State Internal Revenue Service due to a large N600 million tax bill, as reported by Saturday Viztadaily News.
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After the drill in the wee hours of Friday, Jerry Adams, the Executive Chairman of KADIRS, told reporters that the operation was carried out in compliance with a court decision to impose restrictions on KAEDCO’s liability to the state.
Adams clarified that the N600 million tax obligation was from 2015 to 2022, during which time they completed all the reconciliations and agreed to pay a sizeable portion of the liability to KAEDCO.
Nevertheless, the executive chairman bemoaned, saying, ‘KAEDCO has not fulfilled its commitments as of yet, since the obligation was constituted last year.
‘We carried out the law’s mandate to seal and occupy their property this morning in order to guarantee compliance.’
The statement from Kaduna Electric, however, also stated that the outstanding balance for electricity consumed in just the months of January through July of 2024 totaled an astounding
N1,166,856,991.87 (one billion, one hundred and sixty-six million, eight hundred and fifty-six thousand, nine hundred and ninety-one naira, and eighty-seven kopo).
With the prior debt included, this amount has left As per KAEDCO, the State Government is facing a massive debt of N2,943,060,116.77,
which is currently worth two billion nine hundred and forty-three million, sixty thousand, one hundred and sixteen naira, seventy-seven kobo.
Furthermore, it was mentioned that the Kaduna State Government’s debt is still very considerable even after a payment of N256,920,963.88 was made on May 9, 2024, for energy used between September 2023 and December 2023.
Even though it was a sizable contribution, it was insufficient to pay off the total amount owed.
Several attempts to resolve the financial concerns, including multiple meetings with state officials, preceded Kaduna Electric’s decision to cut off.
While Sokoto, Kebbi, and Zamfara are among the other states covered by the Kaduna Electric franchise, they have always kept their accounts in good standing.
fulfilling their responsibilities to Kaduna Electric for repayment of other debts as well as their electricity payments.
The statement claims that on July 21, 2024, a formal disconnection notice was sent, and on July 22, 2024, the Office of the Governor received it.
It said that, in light of the larger difficulties facing the electrical industry, the decision represented the company’s desire to satisfy its own financial responsibilities.
The disconnection was a last measure, Kaduna Electric emphasized, after all other options for addressing the payment issue had been explored, it continued.
The company is currently concentrating on meeting its obligations to the electrical market, maintaining operational stability, and building its long-term viability.
