Enugu Electric has been suspended from the electricity market for its inability to pay for power supplied by the Transmission Company of Nigeria (TCN), raising the prospect of long and bitter power outage for the entire South East region.
The Enugu company is among the three distributors that the federal government has suspended from the market, the other two being Ikeja and Lagos distribution companies.
Their suspension means that the companies would no longer buy electricity in Nigeria for distribution to their customers.
The Federal Government has accused the companies of flouting market rules, as it concerns renewal of their security cover – the deposits that they are expected to make to guarantee future payments for power supplied.
Enugu Electric is already under suspension, via an order issued by the Transmission Company of Nigeria (TCN).
Deputy managing director of Enugu Electric, Mr. Paul Okeke, accepted that his company is in default and making frantic efforts to procure and deliver the security cover.