The Association of Nigerian Electricity Distributors (ANED) said on Thursday the free energy to be supplied for two months would be paid for by the Federal Government.
The Executive Director, Research and Advocacy of ANED, Mr. Sunday Oduntan, disclosed this in a statement in Abuja.
Oduntan said the electricity distribution companies (DisCos) made the clarification due to questions on how the cost that would accumulate would be absorbed in the Nigerian Electricity Supply Industry (NESI).
He said the DisCos had earlier aligned with the federal government and National Assembly efforts to provide free electricity for two months to cushion the effects of the coronavirus pandemic on the citizens.
According to him, the ability of the DisCos to go forward with planned free electricity is subject to the stimulus package being passed by the National Assembly and signed into law by Mr. President.
He said that the palliative seeks to mitigate the economic challenges that Nigerians are being subjected to during this COVID-19 period.
“it is our hope that we do not lose sight of the no-cost reflective tariff challenges that the DisCos continue to suffer under.
“Regardless, we laud President Muhammadu Buhari and members of his government and the National Assembly for this initiative,” he added. (NAN)