Rejoinder: New electricity distribution firms take over from Eko, Ikeja Discos

6th October 2025

The attention of Eko Electricity Distribution Company (EKEDC) has been drawn to news report circulating on various media platforms, titled “New electricity distribution firms take over from Eko, Ikeja Discos.”

While the report acknowledges recent regulatory developments in the Lagos electricity market, it contains certain inaccuracies that require clarification in the interest of factual accuracy and public understanding.

1. Eko Electricity Distribution Company (EKEDC) Has Not Been Sold:

Contrary to the impression created in the report, Eko Electricity Distribution Company has not been sold or taken over. EKEDC remains a legally recognised and operational entity duly incorporated under Nigerian law. There has been no sale, transfer of ownership, or dissolution of the company.

2. Eko Electricity Remains a Legal Entity Owned by West Power and Gas:

EKEDC continues to exist as a legal entity, with 60 per cent shareholding retained by West Power and Gas Limited (WPG) — the core investor that acquired the company during the power sector privatisation exercise of 2013.

The company continues to operate in full compliance with corporate governance and regulatory frameworks.

3. Excel Electricity Distribution Company Is a Subsidiary of EKEDC:

The newly licensed Excel Electricity Company Limited, referenced in the report, is a subsidiary of EKEDC. It was established as part of a corporate restructuring process to align with the emerging regulatory framework in Lagos State.

It is therefore inaccurate to suggest that Excel Distribution Company has “taken over” EKEDC’s operations; rather, Excel Electricity Distribution Company serves as an operational subsidiary within the EKEDC Group, licensed to distribute electricity under the Lagos Electricity Market framework.

4. EKEDC Has Transformed into a Holding Company:

As part of this transition, Eko Electricity Distribution Company has transmuted into a holding company, in accordance with industry best practice and evolving regulatory requirements. This structural change enhances operational efficiency, regulatory compliance, and strategic investment opportunities across various segments of the electricity value chain.

5. Transition in Line with the New Electricity Act 2023:

This restructuring follows the enactment of the Electricity Act 2023, which devolved regulatory oversight of the electricity market to state governments. 

Consequently, the Lagos State Electricity Regulatory Commission (LASERC) has begun issuing licences to operators within the Lagos Electricity Market. EKEDC, through its subsidiary, Excel Distribution Company continues to operate under this framework in full cooperation with LASERC and the Federal Government.

For avoidance of doubt, the Management hereby reiterates that Eko Electricity Distribution Company remains a key player and investor in the Lagos electricity ecosystem, committed to delivering reliable, efficient, and sustainable power supply to all customers.

The recent licensing developments represent a regulatory and structural transition, not a takeover or divestment.

This clarification becomes necessary in the interest of factual accuracy and public understanding. We urge the media and the public to verify information from official sources to avoid the spread of misinformation on matters of national importance such as electricity distribution.

Signed:

Management, Eko Electricity Distribution Company (EKEDC)