By Cynthia Alo
Benin Electricity Distribution Company Plc (BEDC) has said it has developed a debt restructuring scheme for customers to enjoy discounts in a bid to address growing outstanding electricity consumption debts. The company also announced an extension period of debt contract up to a maximum of 60 months, depending on customers’ debt profile in combination with the down payment.
In a statement the company explained, “The Debt Rescheduling Scheme is in line with the Nigerian Electricity Regulatory Commission (NERC) Act which mandates that electricity operators recover costs on prudent investment to be able to provide quality services to customers.” The statement disclosed that the scheme has taken off across the franchise states of Delta, Edo, Ekiti and Ondo.
The key features of the scheme include debt rescheduling scheme that is applicable to debts that over N10,000, combines discount ranges from five percent to 25 percent, down payment of 25 percent and debt repayment periods from six months up to 60 months depending on customers’ profile (whether metered or estimated) as well as debt range and type of tariff band.
The statement added that, “For customers who have outstanding debts and do not pay as and when due disconnection of these parties will continue, unless they are part of the rescheduled agreement and are paying their debts on due dates.”