The Association of Nigerian Electricity Distributors says the free energy to be supplied for two months is not free by the DisCos, but will be paid for by the Federal Government.
Sunday Oduntan, the Executive Director, Research and Advocacy of ANED, made this known in a statement in Abuja on Thursday.
Oduntan said the DisCos made the clarification due to questions that have arisen around how the cost that will accumulate will be absorbed in the Nigerian Electricity Supply Industry.
He said the DisCos had earlier announced aligning with the Federal Government and National Assembly efforts to provide free electricity for two months as a palliative for the effects of the Coronavirus Disease pandemic on Nigerian electricity consumers.
According to him, the ability for the DisCos to go forward with planned free electricity is subject to the stimulus package being passed by the National Assembly and signed into law by the President.
He said the palliative seeks to mitigate the economic challenges that Nigerians are being subjected to during this COVID-19 period.
Oduntan said: “It is our hope that we do not lose sight of the no-cost reflective tariff challenges that the DisCos continue to suffer under.
“Regardless, we laud President Muhammadu Buhari and members of his government and the National Assembly for this initiative.”