₦airaland Forum

Is this the excuse for the current failed FG that debt is the cause of cluelessness in corridor or power. Band A and B consumers are having electricity while others are not having light. Its just about not investing and chopping the income coming in from the excessive charge from Band A customers. Check how much has been truly invested by the operators since the assumption of this government. Nothing, this is the government that grid must collapse in every two weeks as if the offices has not been managed before by anyone. What the are seeking for is to cancel the debt with government money just like nnpc debt to fgn was mismanaged and cancelled by Tinubu Govt. Master of Incompetency at the helm of affairs

nairalanda1:
That's what I tell people.

Nigerians, rich and poor, and even the government, are not paying their electricity bills, and the result is a sector hamstrung by liquidity challenges. The subsidy and price controls make matters worse.

That means that discos cannot raise enough money to pay gencos. DIscos have to even reject power from the gencos because they know that people not paying means that no money to pay the gencos.

But most people na to deny, deny, deny. Some even misunderstand what privatization means. Yes, it means people invest, but it also means that customers have to pay the kind of cost reflective tarrifs that would make the investment make sense. Not this one where only 20% of people pay cost reflective tarrifs (and there is no way that revenue from the 20% who do pay can subsidsze the rest...).

A business must make a profit to survive. If you call someone tinubu supporter for saying that, that means you are saying that tinubu government get common sense, which as we know na oxymoron. And anyway, tinubu is keeping the price controls on the sector that are contributing to the problem.


MODIFED

And here is an expert speaking on the matter



sauce: this day

onitem:
Is this the excuse for the current failed FG that debt is the cause of cluelessness in corridor or power. Band A and B consumers are having electricity while others are not having light. Its just about not investing and chopping the income coming in from the excessive charge from Band A customers. Check how much has been truly invested by the operators since the assumption of this government. Nothing, this is the government that grid must collapse in every two weeks as if the offices has not been managed before by anyone. What the are seeking for is to cancel the debt with government money just like nnpc debt to fgn was mismanaged and cancelled by Tinubu Govt. Master of Incompetency at the helm of affairs

There is a lot wrong with your comment, especially the bit that you assume that government runs distribution and generation, plus you avoid the issue of cost reflective tarrifs.

Fix that first, then we can talk.

nairalanda1:
Cold reason for possible inflation of the bills? Most people are not paying or are not paying enough. So, bills are inflated for consumers who do pay.

(Also, the 'inflated bills' commentary is code for 'electric power should be free of charge'. Let's not lie).

Metering does not solve the billing problem. As at last year, 68% of metered consumers bypass their meters.

And why do.they bypass 'steal' electricity.
Why will a man steal bread to eat....

Una never see anything yet keep giving people estimated bills

nairalanda1:
Cold reason for possible inflation of the bills? Most people are not paying or are not paying enough. So, bills are inflated for consumers who do pay.

(Also, the 'inflated bills' commentary is code for 'electric power should be free of charge'. Let's not lie).

Metering does not solve the billing problem. As at last year, 68% of metered consumers bypass their meters.

When you send them to jail publicly it reduce drastically.

nairalanda1:
Well, if you ran a business where government forced you to sell below your production and other costs...people would say your service is bad , you know.

This is not about government forcing anyone, they are not ready for business. When telcos came to Nigeria they didn't rely on the infrastructure built by Nitel. They built network infrastructure from the scratch and didn't wait for the customers or government to fund them.

Now here the gencos and discos are still using dilapidated infrastructure left by NEPA which collapses a thousand times per year by the way and you are advocating for higher tariff. Be reasonable please.

nairalanda1:
So, if you were selling bread that you baked at the cost of N2000 a loaf at N200 , that's wisdom?

That's kind of what you are advocating just now.


68% of metered consumers bypass their meters. It happens, y'know.



It's been tried. People resort to violence as a result.

And the courts aren't helping.



I see.




And in addendum...cost reflective tarrifs.

Still the same thing.

Give everyone prepaid and let them pay cost reflective bill.

Let there be those whose work will be to inspect for anyone bypassing.

And the bypassing happens mostly in shitty areas. There are areas you can't do that, shame self no go let you try am


There are those in the power sector benefitting from the post paid meter bills, thus, sabotaging the idea of everyone getting prepaid meters

ogododo:
https://punchng.com/unpaid-electricity-bills-now-n6tn-gencos/

Useless GENCOS that cannot provide ordinary metres to households in the country. So how did they arrived at trillion? Through estimated billings or what?
It clearly shows that some government officials are behind the GENCOS in order to get kickbacks and commissions.
If the government is a serious one, they would have revoke the licenses from the investors and take charge of the power sector at least for the meantime.

On top distribution of darkness across Nigeria! Lol

MrPOTUS:
Still the same thing.

Give everyone prepaid and let them pay cost reflective bill.

L\

Which is kind of what I am saying...but yet you attack me.

Starcrest1:
This is not about government forcing anyone, they are not ready for business. When telcos came to Nigeria they didn't rely on the infrastructure built by Nitel. They built network infrastructure from the scratch and didn't wait for the customers or government to fund them.

Now here the gencos and discos are still using dilapidated infrastructure left by NEPA which collapses a thousand times per year by the way and you are advocating for higher tariff. Be reasonable please.

Actually, the telcos funded their projects partly from income from consumers. That was why back in the day many people were complaining about the costs of using a phone being high, yet service was poor.

It was because the telcos were allowed to charge a cost reflective tarrif from the word go, that at the end they were able to attract investment and money to pay for their businesses to expand and keep expanding.

Discos and gencos never ever had that benefit, plus power theft has been happening even before the discos and gencos took over, which is why they are in the mess they are now

Price controls don't work for any economy.

missionmex:
When you send them to jail publicly it reduce drastically.

LOL...send who to jail.

Discos have tried the courts to punish defaulters. Everytime it ends with defaulters using cutlass and guns to chase disco workers away.

And there was the time when soldiers invaded Eko disco office. Reason being that the disco cut them off for not paying

(And most nigerians applaud such defaulters)

See the problem?

Reference:
And why do.they bypass 'steal' electricity.
Why will a man steal bread to eat....

You are excusing the wrongdoing....

Eelctricity costs money. You can call me APC supporter, or AGIP person, but so long as people steal power because it is expensive, that means that losses would be made, and nothing can be done to make good on them

Simple and short.

Plus you are excusing by extension people going to their local shops and markets and stealing enmasse.


And you know what, that attitude of non payment is taking bread away from the mouths of disco and genco workers.

Oga, i'm done. Don;t argue with me.

nairalanda1:
Actually, the telcos funded their projects partly from income from consumers. That was why back in the day many people were complaining about the costs of using a phone being high, yet service was poor.

It was because the telcos were allowed to charge a cost reflective tarrif from the word go, that at the end they were able to attract investment and money to pay for their businesses to expand and keep expanding.

Discos and gencos never ever had that benefit, plus power theft has been happening even before the discos and gencos took over, which is why they are in the mess they are now

Price controls don't work for any economy.

That's false, they invested money in infrastructure first, before selling to customers otherwise how did they have the network to distribute their services.
You can just say they increased coverage with the profit they made from the initial sales. Nigerians still bought it even though it was costly but it was a better alternative to Nitel.

I know if it were in those days, you would have made 3xcuses for Nitel but there were better ways they could've rendered their services which MTN and Co have showed us. Today the sim card they sold for #60,000, they give it out for free and it still doesn't effect their profit.

Just accept the fact that what you are saying won't work until Power Discos redo their infrastructure for better services, even the issue of bypass will be mitigated with better infrastructure.

Even Telcos faced the same issues with the issue of free browsing hacks, but today it's been mitigated drastically with good technology.

nairalanda1:
LOL...send who to jail.

Discos have tried the courts to punish defaulters. Everytime it ends with defaulters using cutlass and guns to chase disco workers away.

And there was the time when soldiers invaded Eko disco office. Reason being that the disco cut them off for not paying

(And most nigerians applaud such defaulters)

See the problem?

They should overhaul their infrastructure and make everything automated, so that all these things would be a thing of the past, have you seen MTN fighting with their customers over bill payments. If you have the money, you make your call and browse, of you don't have. You dey your dey. That's how it should be.

You can't be giving a 19th century service and be expecting 21st century pay.
Even me here can think of more than 5 ways through which the issue of bypass can be curtailed, talk more of when they employ experts.

They should make sure everyone gets a metre and use power any how they wish problem solved.
But they won't because they know what they are doing.

nairalanda1:
From this guardian article (Link here)

And here is the opening lines of the article...

Over 68 per cent of electricity consumers in Nigeria are illegally bypassing their prepaid meters and consuming power without payment, the Nigerian Independent System Operator (NISO) has revealed.

This disclosure came yesterday in Abuja during the fifth annual conference of the Power Correspondents Association of Nigeria (PCAN), where stakeholders in the power sector called for a balanced electricity tariff that would protect consumers while ensuring commercial viability for operators.

The revelation adds a new layer to Nigeria’s worsening power sector liquidity crisis, as utilities already struggling with poor revenue collection now face widespread energy theft.

It's true there are consumers bypassing meter but this is an inflated figure even at that what is the percentage of houses that have prepared meter to those that doesn't have.

Guestmale:
It's true there are consumers bypassing meter but this is an inflated figure even at that what is the percentage of houses that have prepared meter to those that doesn't have.

Can't be inflated. It's from the system operator themselves...who should know.

Starcrest1:
They should overhaul their infrastructure and make everything automated, so that all these things would be a thing of the past, have you seen MTN fighting with their customers over bill payments. If you have the money, you make your call and browse, of you don't have. You dey your dey. That's how it should be.

Again using a phone is different from using electricity.

Putting it simply, there is no bypassing meters, or refusing to pay for service with phone companies. And you can't use their services without paying them at the price they dictate, and crucially, government doesn't force price controls on them

You can't be giving a 19th century service and be expecting 21st century pay.

Well, considering that they are being massively underpaid, with the resultant losses, no wonder they can't afford to upgrade ther services in all respect.

NO company can work if most of the consumers are not paying a cost reflective tarrif.

Even me here can think of more than 5 ways through which the issue of bypass can be curtailed, talk more of when they employ experts.

Could you list them then? I'm interested. (I am also serious, this is not rhetorical)

They should make sure everyone gets a metre and use power any how they wish problem solved.
But they won't because they know what they are doing.

1.Well, have you heard of MAP.?
2. Even if everyone is metered, and everyone pays, there still remains the problem that most people won't be paying a cost reflective tarrif.
3.And it is possible that the lack of a cost reflective tarrif, is hampering the ability of discos to give everyone and their mothers a meter.

nairalanda1:
Can't be inflated. It's from the system operator themselves...who should know.

Yes now,the inflated figure is from the operators. They have to present a grim picture to the FG and the populace so as to get support and sympathy of both the FG and the populace.

Guestmale:
Yes now,the inflated figure is from the operators. They have to present a grim picture to the FG and the populace so as to get support and sympathy of both the FG and the populace.

I'll have to end it here, as you are basically saying they are lying without invovling cogent proof.

ogododo:
https://punchng.com/unpaid-electricity-bills-now-n6tn-gencos/

Sometimes I just sit down and remember where everything started. Back then in Nigeria, when we were using postpaid meter, wahala too much. NEPA people go just send estimated bill wey no get head or tail. Imagine living in a compound of six flats and each flat dey pay ₦30,000 every month for light, meanwhile the house rent na ₦20,000. Make it make sense na.
Tenants started packing out because dem no fit cope. Some people dey owe serious money. Everybody dey fear bill pass rent. The pressure was real. That was when we say, “No, we no fit continue like this.” We started hustling for prepaid meter. After plenty stress and back and forth, we finally got it. From that moment, things changed. That whole experience taught me survival. When life press you, you either fold or you find solution. I chose to find solution. Over time, I also started helping others solve their electricity problems, and I earn money from it monthly, sometimes close to ₦300,000.
Looking back now, I realize say sometimes hardship fit push you to think differently. What almost broke us actually made us stronger.
Life no easy, but you must adapt. 💡

The electricity they didn't supply

Unpaid by who? This is the only industry that bills people for services not rendered. All over the country most states are in darkness, yet bills are sent to communities, well its Nigerians who like to pay for nothing.

Just like NNPCL the Disco racket needs to be reined in.

nairalanda1:
LOL...send who to jail.

Discos have tried the courts to punish defaulters. Everytime it ends with defaulters using cutlass and guns to chase disco workers away.

And there was the time when soldiers invaded Eko disco office. Reason being that the disco cut them off for not paying

(And most nigerians applaud such defaulters)

See the problem?

How I wish there is technology that once you bypass, it will not work.

ogododo:
https://punchng.com/unpaid-electricity-bills-now-n6tn-gencos/

Tell us the paid darkness amount

Who dey owe cos I am not owing shi shi,
I wonder why I don't have light,
Let these government not push me in to bandit oooo
I am frustrated ooo
Na something dey cause something

Which electricity, we are not seeing it,sometimes power outages last for more than three to four days and the voltage supplied is as low as 178volts.When they are quoting this figure, you start wondering when the service was rendered what about the bills we are paying to the discos

State government should invest in power generation and escape the payment of subsidy because these figures look highly inflated.

nairalanda1:
Cold reason for possible inflation of the bills? Most people are not paying or are not paying enough. So, bills are inflated for consumers who do pay.

(Also, the 'inflated bills' commentary is code for 'electric power should be free of charge'. Let's not lie).

Metering does not solve the billing problem. As at last year, 68% of metered consumers bypass their meters.

because the billing is too much! And we can't get the light sef. Very soon 1 unit will cost 1000 Naira. People are making too much money from this thing. It's too much!!!! Genco is what!!? It's so annoying. Once someone gets near the sit of power they forget where they come from. One person in government will own 100 houses, are you Michael Jackson? It's too much?

nkpommpko:
because the billing is too much! And we can't get the light sef. Very soon 1 unit will cost 1000 Naira. People are making too much money from this thing. It's too much!!!! Genco is what!!? It's so annoying. Once someone gets near the sit of power they forget where they come from. One person in government will own 100 houses, are you Michael Jackson? It's too much?

1..starting with your last statement, government doesn't own the discos or gencos

2. Actually things are so bad that at least 3 discos have had investors pull out.

3. As many experts have said the problem is a liquidity issue. In plain English, most people do not pay their power bills

4. Which is why some discos charge actual paying consumers higher.

5. Even then, the funds they raise are not high enough to pay the gencos. As can be seen above

Last year discos made one trillion naira. They owe gencos six trillion. They also got to pay tax, pay staff , pay maintenance costs and so forth.

We all got to pay our power bills and stop bypassing our meters. All of us including the rich and the poor

Agugbadin:
State government should invest in power generation and escape the payment of subsidy because these figures look highly inflated.

Well , no
Gencos pay for gas in dollars. No gas supplier accepts naira in Nigeria , not even the NNPC subsidiary Nigeria Gas company.

Also discos have had a liquidity problem , which has been pointed out by experts for years. In practical terms, they don't earn enough money to pay the gencos at all times ( and even reject power from the gencos from time to time because they can't pay for it)

All the above contributes to the debt

These bastards are liars. There are so many houses who pay a wickedly overpriced estimated energy bill, what are they on about. I have boys, these guys make more money than they ever need. They are only successful with this criminality because Nigeria aids them.
Consumers pay for their meters, their poles, their conductors and still buy their transformers, even when NERC says it's illegal. Greedy mfs