Covid-19 interrupts Nigeria distribution progress

Issue 420 - 24 Jul 2020 - By Dan Marks

The Nigerian government is caught between a rock and a hard place as it tries to square the need to reduce subsidies to the electricity sector with protecting customers and the economy from price rises when they are already hard hit by Covid-19. Distribution companies (discos) are absorbing substantial losses due to reductions in industrial demand and challenges protecting revenue through disconnections and meter inspections. However, there is some confidence that the sector continues to move in the right direction, with enthusiasm about better collaboration between stakeholders and initiatives for franchises within existing disco boundaries.

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