President Muhammadu Buhari has foreclosed the possibility of federal government backing a unilateral takeover of the 11 electricity distribution companies (Discos) by state governments following poor performance of the Discos since the power assets were handed over to the private sector in 2013, investigation by Thisday has revealed.

Buhari made his position known in response to recommendations of National Economic Council (NEC) Adhoc Committee on Ownership Review of the Discos and Power Sector Review.

The committee was headed by Governor of Kaduna State, Mr Nasir El-Rufai.

The president’s response to the El-Rufai-led committee’s report also coincided with moves by stakeholders, led by Central Bank of Nigeria (CBN), to address the liquidity crisis in the power sector and avoid the possible takeover of Discos by banks they are indebted to.

NEC had mandated el-Rufai committee to investigate the ownership structure of the Discos and to establish the equity shareholding of the states.

The committee was also mandated to carry out a forensic audit of the bank accounts of the Discos.

Though the power distribution firms have since gone to court to stop the forensic audit, reporters gathered that the committee also recommended the takeover of power assets by the states, but Buhari rejected the recommendation.

Thisday