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Power firms declare force majeure over tariffs

27 May 2015, 19:57

Abuja - The Bureau of Public Enterprises said some electricity distribution companies popularly known as DISCOs have declared political force majeure, Punch reports.

The Head of Public Communications at the privatisation agency, Alex Okoh, who said this in a statement in Abuja on Tuesday, also disclosed that the Yola Electricity Distribution Company had declared another force majeure as a result of insurgency in the area of its operation.

Also read: Ikeja Electric explains power outages

The force majeure clause is a standard clause in most contracts and it includes events such as natural disasters, wars and other occurrences not within the power or control of the executing party, which makes the implementation of the contract impossible.

Okoh said the existence of the clause, which the investors invoked, was normal in contracts but added that the notification of force majeure did not mean the acceptance.

Read more at Punch

- News 24


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