The Abia state government has completed negotiations to acquire 60% of the assets of the Enugu Electricity Distribution Company (EEDC) in the state to increase its control of the electricity sector in its state.
The agreement between the Abia state government and Interstate Electric was reached recently and was a sucessful move towards near total control of Abia’s electricity sector by the government.
Prince Okey Kanu, Abia State’s Commissioner for Information, revealed the development in a press conference today in Umuahia, Abia State.
“This landmark agreement ushers in the next phase of a transformative transaction that will enable the Abia State Government to take charge of power generation, regulation, and distribution across the eight ring-fenced local government areas in Abia Central and North senatorial zones,” Kanu stated
The commissioner added that the move aligns with Governor Alex Otti’s vision to strengthen the electricity sector as a key driver of economic growth and sustainable growth in Abia State.
Speaking further at the press conference, Kanu revealed that the State Executive Council has approved the restoration of electricity to Ohafia after several years in darkness. The move boosts credibility and inspires more activities in the Greater Ohafia Development Authority.
“This administration remains resolute in its mission to deliver reliable power, durable infrastructure, and sustainable development for all Abians,” Kanu added.
Infoeast View
- Abia state, under Alex Otti, has prioritized electricity as a key catalyst for the industrialization agenda of the state. The Geometric Power plant in Abia, partly funded by the African Development Bank (AFDB), promises to provide 24-hour electricity to most parts of the state.
- The AFDB also launched a $263.8 million infrastructure project in Abia state, highlighting growing direct investment in the commercial southeastern state.
- Interstate Electric Limited (IEL) is a consortium comprising Chrome Energy Nigeria Limited, Powerhouse International Limited, and the Metropolitan Electricity Authority of Thailand, serving as the core investor and majority shareholder of the Enugu Electricity Distribution Company (EEDC).
- Interstate Electric owns 60% of EEDC.
