By Seun Ibiyemi
A recent intervention by the Benue State Government to restore electricity in parts of Makurdi has reignited debate over Nigeria’s 2013 power sector privatisation, with calls for urgent reforms and stricter accountability for distribution companies.
In a public statement, energy expert Nick Agule commended the state government’s efforts to restore power to North Bank, Makurdi, but described the development as evidence of systemic failures in the privatised electricity market.
He criticised the Jos Electricity Distribution Company (JED) for reportedly lacking the capacity to fund critical infrastructure such as armoured cables required to deliver electricity to consumers.
According to Agule, it is unacceptable for a private utility to depend on government funding for basic infrastructure while continuing to bill customers.
He argued that any financial intervention by the Benue State Government should be treated as a loan, insisting that JED should not bill residents using infrastructure funded with public resources unless repayment obligations are met.
“Either JED refrains from billing until the loan is fully recovered, or repayment to the state government must be mandatory,” he said.
The statement further called on the Federal Government to review the 2013 privatisation framework introduced under former President Goodluck Jonathan, noting that some operators have failed to invest adequately in infrastructure.
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Agule urged authorities to consider revoking licences of underperforming distribution companies and adopt a model similar to other sectors where private investors build and deploy infrastructure before charging customers.
He also advised the Benue State Government to explore opportunities under the Electricity Act 2023 by establishing its own electricity market, similar to reforms undertaken in states like Enugu State, Abia State and Lagos State.
He stressed that decentralised electricity markets could help protect residents from inefficiencies in the current system and improve power supply reliability.
The statement concluded with a call for decisive action by President Bola Tinubu to reform the sector and ensure it delivers sustainable and reliable electricity to Nigerians.
