IBEDC disconnects UCH from power supply due to N400m debt

Wedneday witnessed confusion as the University of Ibadan College Hospital, UCH, was disconnected from power supply by the Ibadan Electricity Distribution Company, IBEDC, citing an outstanding debt of over N400 million.

Chief Key Accounts Officer of IBEDC, Johnson Tinuoye, made the disconnection announcement via a statement.

IBEDC expressed that the disconnection was a result of multiple failed attempts to engage with UCH’s management regarding the long-standing overdue balance that has been lingering for more than six years.

“Despite numerous written correspondences and several meetings, UCH management has shown reluctance in addressing the overdue debt. IBEDC’s commitment to its stakeholders and market operators necessitates prompt and complete payments, especially with the liquidity crisis faced by DISCOs,” the statement read.

“Unsettled electricity bills impede DISCOs’ ability to meet commitments to GENCOs and purchase gas for power generation, exacerbating the nationwide challenge of inadequate power supply,” it continued.

The statement also highlighted that UCH operates over 70 diesel-generating sets, with a high cost of energy generation compared to the tariff charged by IBEDC. Despite providing infrastructure for 20-24 hours of dedicated power supply to UCH, the hospital has failed to clear its debt or propose a feasible repayment plan.

UCH’s behavior contrasts with other Teaching Hospitals under IBEDC’s franchise like those in Obafemi Awolowo University, Ile-Ife, Osun State, and University of Ilorin Teaching Hospital, Kwara State, as well as others in Ogun State, which promptly settle their bills, raising questions about UCH’s payment practices.

IBEDC stressed the importance for all customers, including hospitals, to meet payment obligations, particularly during challenging economic times, as non-performance could lead to license withdrawal as warned by the Nigerian Electricity Regulatory Commission, NERC.

On the other hand, UCH, through its public relations officer, Funmilayo Adetuyibi, refuted the claim of an outstanding debt, attributing the issue to old bills inherited by the current administration. She mentioned payments made in January, February, and March 2024.

NewsNow reported the concerns of UCH staff who expressed their difficulties working without power.