The Minister of Power, Adebayo Adelabu, has revealed how a private company held onto N32 billion meant for the supply of three million prepaid meters for two decades.
According to a statement from the minister’s office on Wednesday, the Federal Government entered a tripartite agreement with Messrs Ziklagsis Network Limited and Unistar International in 2003 for the provision of three million meters to distribution companies.
The statement explained that despite the release of a revolving metering loan of N32 billion to Messrs Ziklagsis, the agreement was not fulfilled, and the funds remained in the company’s bank account.
“With the privatisation of distribution, the government proposed metering for Ministries, Departments, and Agencies (MDAs) to accurately determine consumption and reduce debts,” said Adelabu.
He clarified that the initiative to meter military formations was part of this plan.
Addressing reports alleging non-compliance with due process in the military metering project, Adelabu noted that the Nigerian Army sought intervention due to its electricity debt. The government directed the ministry to utilize the N32 billion with Ziklagsis for the project.
Adelabu expressed concern over funds meant for a national project being held for over 20 years by an individual. He escalated the issue to the presidency, resulting in approval to retrieve the fund plus accrued interest.
As a result, N12.7 billion was to be released in tranches to De Haryor Global Services for the metering project’s commencement.
“The minister should be commended for his effort in ensuring the recovery of the revolving meter fund, enabling the eventual take-off of the project,” the statement concluded.
