NERC Dissolves Kaduna Disco Board Over N456.5bn Debt

The Nigerian Electricity Regulatory Commission (NERC) has dissolved the board of Kaduna Electricity Distribution Plc (KAEDC) effective August 10, 2026, citing severe financial insolvency and prolonged regulatory and market defaults. According to Interim Order No.

NERC/2026/086, KAEDC has accumulated over N118.6 billion in additional market debt under ASI Engineering Limited, bringing its total market obligations to approximately N456.5 billion. In 2025, KAEDC remitted only 41.93 percent of its adjusted market invoices, with Aggregate Technical, Commercial and Collection (ATC&C) losses at 71.88 percent.

The company invested N2.48 billion against a required N24.51 billion, and customer metering coverage was below 36 percent. To ensure operational stability, NERC has constituted an interim board of special directors, appointing Dr Abdullahi Garba as Chairman, and an administrator for an initial six-month period.

Afrexim Bank will oversee a transparent 12-month process to find a competent replacement core investor for KAEDC.