… boasts 20-hr daily supply, 95% compliance, over 50 industrial feeders in North-West
… challenges NDPHC to align engagement with MAN on electricity market realities
Oredola Adeola
The Kano Electricity Distribution Company (KEDCO) has accused the Kano branch of the Manufacturers Association of Nigeria (MAN) of sustained hostility, despite receiving exclusive electricity tariff discounts worth ₦3 billion over the past 12 months.
Sani Bala Sani, KEDCO’s Head of Corporate Communication, made this known in a statement obtained by Advisors Reports on Monday.
According to him, the DisCo had created a special transition tariff in May 2024 to cushion manufacturers from the impact of new market realities.
He added that the discounts benefited major 33kV industrial feeders such as Dangote, Dr. Jamil, Flour Mills, and Coca-Cola, all serving predominantly MAN members, KEDCO was still experiencing billing losses of ~₦2.5Bn per month on average on feeders assigned to Maximum Demand Industrial (MDI) customers due to energy theft.
The DisCo noted that in the past 12 months, most of its partnerships and supply arrangements with industrial and manufacturing companies are no longer routed through MAN as a body.
“Instead, we have been dealing directly with individual companies,” Sani said.
Advisors Reports gathered that MAN had earlier suggested that its members (manufacturers) could start receiving power supply directly from the Niger Delta Power Holding Company (NDPHC).
The DisCo’s spokesperson has therefore downplayed the effect of that claim, saying, “Since most of its commercial partnerships with manufacturers are already independent of MAN, MAN’s statement won’t hurt its business much.
He insisted that even if MAN’s plan were true, current electricity regulations and technical constraints, make such direct supply unlikely or impractical without going through the DisCo.
Sani said, “MAN Kano, last year, discouraged its members from paying the regulatory- approved tariffs and dragged KEDCO to court.
“The outcome of the court case was unsuccessful for MAN.
“Despite the rancour and huge losses accrued due to customer apathy, KEDCO offered through MAN Kano, 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,” he said.
KEDCO stressed that it does not regret the decision, noting that it considers industrial and manufacturing customers its most important customer group, given their critical role in job creation and economic output.
“Attempts to have MAN Kano support an aggressive stance against members and partner on an energy theft reduction programme proved unsuccessful.
“MAN, Kano did nothing to support KEDCO in managing customer theft on industrial feeders,” Sani said.
Sani boasted that improved performance across other business segments enabled KEDCO to recover despite the discounts, making it the best-performing DisCo in Northern Nigeria in terms of market remittance, according to NERC’s Q1 figures.
He said, “KEDCO had even anticipated that the MAN Kano branch would work with its national body towards a beneficial partnership with various DisCos, to replicate the scheme for national development.
“But strangely, MAN neither communicated this to its national body nor relevant stakeholders and never once publicly acknowledged the support” he said.
KEDCO’s Head, Corporate Communication, further explained that “MAN has consistently painted a false narrative to NDPHC and other stakeholders regarding their supply status.
“To set the record straight, our maximum demand industrial customers (MDI) receive an average of 20hrs daily hours, signifying 95 percent in SBT compliance, making KEDCO one of the top performers nationwide.
“This is also available in NERC’s feeder compliance records,” he emphasised.
“KEDCO has consistently prioritized stable power to over 50 industrial feeders across Kano, Katsina, and Jigawa States, making it the ‘best DisCo for manufacturers’ in Nigeria.
“No other utility offers as much dedicated industrial support in the region.
KEDCO maintains its readiness to extend a supportive hand to its willing customers on a bilateral basis.
“We will no longer offer support through MAN, as they have repeatedly failed to rise to expectations,” he cautioned.
Sani urged MAN to strengthen mutually beneficial partnerships, rather than making statements that could elicit unnecessary panic and mislead stakeholders.
KEDCO’s Head of Corporate Communication urged the Niger Delta Power Holding Company (NDPHC) to engage more constructively and align its dealings with the realities of Nigeria’s electricity market for the collective good.
This came as MAN Kano members declared readiness to bypass DisCos for direct supply from NDPHC, a move welcomed by Jennifer Adighije, NDPHC CEO, who reportedly pledged support for manufacturers under the eligible customer framework to drive industrial growth, jobs, and socio-economic development.