The Nigerian Electricity Regulatory Commission (NERC) has given its approval for ASI Engineering Limited to acquire a 60% equity stake in Kaduna Electricity Company (Kaduna Electric). The move comes as Kaduna Electric struggles with a debt of N110 billion (approximately $130 million).
ASI Engineering Limited, a prominent player in the industry, aims to revamp Kaduna Electric’s infrastructure and enhance energy access, reliability, and efficiency in Northern Nigeria. This acquisition is in line with the government’s efforts to privatize electricity distribution companies, boosting revenue and attracting investment in the economy.
The takeover is expected to bring significant improvements to Kaduna Electric’s operations, including infrastructure upgrades, employee training, and community engagement initiatives. ASI Engineering Limited has expressed its commitment to making Kaduna Electric a national leader in electricity distribution, driving sustainable development and enhancing the quality of life for residents, businesses, and industries in the region.
This development marks a significant milestone in the Nigerian power sector, which has faced numerous challenges, including capital deficiencies and sub-economic tariffs. The government’s drive to privatize assets aims to generate revenue, reduce fiscal burden, and attract investor participation in the economy.
