MON, MARCH 09 2020-theG&BJournal- The Nigerian Electricity Regulatory Commission (NERC) has approved the sub-concession agreement between Kaduna Electricity distribution company (KAEDCO) and Konexa, an integrated energy distribution company, KAEDCO announced Monday.
The agreement according to KAEDCO, will enable Konexa to render electricity services in selected parts of Kaduna Electric’s franchise.
Under the approved arrangement, Konexa is expected to make investments in network infrastructure that will guarantee 24/7 supply of electricity within the sub-concession area to all customers, from large commercial and industrial off takers to low demand residential customers.
‘’Konexa interventions will also see the roll-out of new metering technology, the deployment of off-grid solutions such as mini grids and solar home systems to serve unconnected populations, and the installation of embedded generation capacity where required,’’ KAEDCO said.
A statement signed by the Head of Corporate Communication of Kaduna Electric, Abdulazeez Abdulahi, said the approval was contained in a letter sent to the Managing Director/CEO of Kaduna Electric by the Chairman, NERC, Prof James Momoh.
According to the statement, the sub-concession agreement shall be subject to all existing and other future regulations as may be determined by the regulator.
‘’ECOF Kaduna Ltd (Konexa) under the agreement shall be derived from the existing terms and conditions of license issued to Kaduna Electricity Distribution Company Plc (KAEDCO),’’ the approval letter stated.
Abdulahi said that the partnership between Kaduna Electric and Konexa is aimed at accelerating much needed improvements in service delivery. He reiterated the commitment of the company to partner with likeminded organisations with the view to attracting investment into the Nigerian electricity supply industry so as to ensure quick resolution of the challenges bedevilling the sector.
The Chairman of Kaduna Electric, Yusuf Abubakar stated: ‘’This is a win-win partnership that will bring investment, improve quality of service, and ensure Konexa meets remittances obligations and rolls out much needed cost effective off-grid solutions.’’
He said they have been working on the partnership for two years now.
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