The Nigerian Electricity Regulatory Commission has dissolved the board of Kaduna Electricity Distribution Plc and taken direct control of the company over a debt crisis running into hundreds of billions.
In an order signed and effective Monday, August 10, 2026, NERC said the move was made under Sections 75 to 79 of the Electricity Act 2023. The commission cited a debt profile of about N456.5 billion, poor remittance, and years of under-investment as the reasons for the intervention.
According to the order, the core investor, ASI Engineering Limited, added over N118.6 billion in market debt by May 2026 and failed to provide required bank guarantees. NERC’s review also found that KAEDCO remitted just 41.93% of its adjusted market invoices in 2025.
Other findings listed by the regulator:
- ATC&C losses: 71.88%
- Capital investment: N2.48 billion spent against a requirement of N24.51 billion
- Metering: Less than 36% of customers metered
With no credible recovery plan in place, NERC said it had to act to protect customers and keep the market stable.
New Interim Leadership
NERC has set up a special interim board chaired by Abdullahi Garba. Abubakar Hashidu was named administrator for an initial six months to run daily operations.
The other special directors are Francis Agoha, Aliyu Aliyu, Henry Ayamasaowei, and Haliru Dikko. Ayodeji A. Gbeleyi will represent the Bureau of Public Enterprises on the board. The Corporate Affairs Commission has been notified to block unauthorized changes to company records during the transition.
The commission also withdrew all “know-your-licensee” approvals for KAEDCO’s management team. Affected staff must now present themselves for revalidation by NERC.
What happens next
Africa Export-Import Bank, working with NERC, will lead a 12-month competitive process to find a new core investor with the financial and technical capacity to run the DisCo.
NERC assured customers in the Kaduna franchise area that electricity distribution will continue without interruption during the transition.
