The Nigerian Electricity Regulatory Commission (NERC) has officially terminated the board of the Kaduna Electricity Distribution Plc (KAEDC). This action follows the firm’s accumulation of N456.5 billion in market debts and ongoing struggles with financial and operational management. Under the directive titled Order No. NERC/2026/086, which began on August 10, 2026, the regulator has installed an interim board of special directors. Plans are also underway to find a new core investor for the utility.
The regulator stated that this intervention was triggered by sustained market defaults and a lack of necessary investment. Data provided by NERC reveals that as of May 2026, KAEDC owed N415.5 billion to the Nigerian Bulk Electricity Trading Plc and N41 billion to the Nigerian Independent System Operator. Additional third-party and statutory debts reach N14.26 billion. Since ASI Engineering Limited assumed operations in June 2024, the company has added over N118.6 billion to its total debt load.
Performance metrics show the company’s inability to stabilize, with a 2025 remittance rate of just 41.93 percent. High technical and commercial losses meant the firm could only account for 28.2 percent of the power delivered to customers. Furthermore, capital expenditure remained low; the company spent only N2.48 billion in 2025, falling far short of the required N24.51 billion target. Despite receiving significant government support and regulatory waivers, the company failed to improve its meter coverage or financial standing.
