TCN issues disconnection notice to AEDC over market rules violations: potential power outage looms
The Transmission Company of Nigeria (TCN) has issued a notice of disconnection to the Abuja Electricity Distribution Company (AEDC) due to violations of market rules, potentially leading to power outages in the Federal Capital Territory, Niger, Kogi, and Nasarawa States.
According to the notice, AEDC failed to fulfill prudential requirements, despite multiple notifications from TCN. The company was given a deadline to correct the violations, but failed to do so, leading to the issuance of the disconnection notice on Saturday, July 20.
The disconnection notice, signed by Ali Ahmad, TCN’s Market Operator, stated that AEDC was suspended from participating in the electricity market, effective immediately.
The notice also warned that if AEDC failed to provide an adequate bank guarantee within five business days (by July 25), its network may be partially or totally disconnected from the power grid.
This development has raised concerns about potential power outages in the affected states, as AEDC is the sole electricity distribution company serving those areas. Residents and businesses are advised to prepare for possible disruptions to their power supply starting from July 28.
The TCN has assured that it will work with other stakeholders to mitigate the impact of the disconnection on consumers, but emphasized that market rules must be respected to ensure the stability of the electricity market.
This incident highlights the ongoing challenges in Nigeria’s electricity sector, including issues with payment for electricity supply, metering, and distribution. Stakeholders are calling for urgent reforms to address these challenges and ensure a stable and reliable electricity supply.
