Kaduna DisCo, state govt settle face-off over debts owed each other

The Kaduna State government has reached a truce with the Kaduna Electricity Distribution Company (KAEDC) after a standoff over a N600 million tax debt.

The dispute, which escalated to a physical showdown with the sealing of the DisCo’s headquarters by the Kaduna Internal Revenue Service (KADIRS) and subsequent power cuts to government facilities, has now been resolved.

The crisis erupted when KADIRS obtained a court order to seal the DisCo’s premises over the alleged unpaid taxes. In retaliation, KAEDC disconnected power supply to the government house and other state-owned facilities, claiming a N2.9 billion debt.

Read Also: Aviation unions sound alarm over Arik Air embargo, warn of massive job losses

However, a series of high-level meetings between officials of both parties has led to a resolution.

KAEDC, in a statement on Monday, said all issues in dispute were resolved following a series of meetings involving high-ranking officials from the company and the state government.

“As a responsible corporate citizen, Kaduna Electric is committed to continuing to pay its taxes and other state levies and dues as appropriate,” the DisCo said.

“Similarly, the Kaduna State Government has also pledged to settle the electricity bills of its ministries, departments, and agencies as and when due.”

Join the conversation

Opinions

Support Ripples Nigeria, hold up solutions journalism

Balanced, fearless journalism driven by data comes at huge financial costs.

As a media platform, we hold leadership accountable and will not trade the right to press freedom and free speech for a piece of cake.

If you like what we do, and are ready to uphold solutions journalism, kindly donate to the Ripples Nigeria cause.

Your support would help to ensure that citizens and institutions continue to have free access to credible and reliable information for societal development.

Donate Now