NERC Dissolves Kaduna Disco Board Over ₦456bn Debt

The Nigerian Electricity Regulatory Commission (NERC) issued an Interim Order (Order No: NERC/2026/086) dissolving the board of Kaduna Electricity Distribution Plc (KAEDC) effective August 10, 2026, due to severe financial insolvency. KAEDC accumulated over ₦118.6 billion in additional market debt under ASI Engineering Limited by May 2026, leading to total market obligations of approximately ₦456.5 billion.

The NERC's review indicated that ASI Engineering failed to provide necessary bank guarantees and that KAEDC remitted only 41.93% of its adjusted market invoices in 2025, recorded ATC&C losses of 71.88%, and invested only ₦2.48 billion against a capital requirement of ₦24.51 billion. An interim seven-member board of Special Directors has been constituted, chaired by Dr Abdullahi Garba, who will also serve as CEO.

Dr Abubakar Umar Hashidu has been appointed as Administrator. Afrexim Bank will coordinate a 12-month process to secure a new core investor while ensuring uninterrupted electricity distribution services.