The House of Representatives Joint Committee investigating the disbursement and utilisation of N59 billion Central Bank of Nigeria(CBN) loan for the National Mass Metering Programme (NMMP) has queried the Nigerian Electricity Regulatory Commission (NERC) over alleged non utilisation of the fund.
The committee also frowned at the approval by NERC to Meristerm Wealth Management Ltd to receive 0.5% of annual collection of Disco up to 2030.
The joint Committee is made up House Committees on Banking Regulations, Power, Rural Electrification, and Housing.
Chairman of the Joint Committee, Uchenna Harris Okonkwo said preliminary investigation by the committee showed the concept of National Mass Metering Programme was initiated by the NERC to close metering gap, encourage local meters manufacturers, stop collection losses and estimated billing.
The programme, he said, was approved by the Federal Government in 2020 but failed to yield expected results.
He said the committee has engaged Meristerm Wealth Management Ltd, NESI-SSL and Nigerian Electricity Regulatory Commission and other relevant bodies.on the disbursement of ₦55,424,975,546.96 out of the initial N59,280,988,305.00 earmarked by the CBN.
The lawmaker stated that the review of the management of the programme has shown a lot of ambiguities, inconsistencies and contradictions which points to the fact that the programme has not been successfully handled to achieve the desired objectives
The detail of the programme according to him, shows that NESI-Stabilization Strategy Ltd (NESI-SSL) was chosen as special purpose vehicle (SPV) by the CBN while Meristerm Wealth Management Limited was appointed as the fund manager/administrator.
He said though the companies were not forth coming with relevant submission, the committee has decided to carry out full investigation with the view to address several anomalies in the electricity distribution in the country.
He however warned that the committee will not hesitate to invoke relevant constitutional provisions on anyone who is found to be frustrating the investigation.
The committee expressed concerns despite documents from NERC showing that the electricity distribution Companies are owing the CBN for disbursements made to them to install meters, NERC has not verified the Installations of those metres
The lawmaker also noted that the committee is worried about the rationale behind the clause which states that Meristerm Wealth Management Limited should receive 0.5% of annual collection of Disco up to 2030 for National Mass Metering Programme.
The committee directed the management of Meristem Wealth Management Ltd, NERC, NESI-SSL and other relevant bodies to appear in their next sitting.
