HomeUncategorizedN39bn metering contract: Court adjourns case to May 7 for hearing

N39bn metering contract: Court adjourns case to May 7 for hearing

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ABUJA — The Federal High Court in Abuja has scheduled May 7, 2025, to hear a N39.1 billion legal dispute involving the Federal Government and a private firm, Ziklagsis Network Ltd, over a mass metering contract.

Presiding judge, Justice James Omotosho, fixed the hearing date on Wednesday after ordering all involved parties to file and exchange necessary court documents.

The suit, marked FHC/ABJ/CS/576/2024, also lists the Federal Ministry of Power, Minister of Power, Debt Management Office, Providus Bank Ltd, and electricity installation firm De-Haryor Global Services Ltd as defendants.

Ziklagsis Network Ltd, in its originating summons, is challenging efforts by the government to reclaim over N39 billion that had been disbursed to it under a national metering project. The company argues that the Federal Ministry of Power has no legal authority to confiscate, withhold, or divert the funds, citing specific articles of a 2017 Judgment Compromise Agreement (JCA) it entered with the ministry.

The company claims it was mobilised to deploy free prepaid meters across Nigeria to alleviate the burden of estimated energy billing. However, due to the disruptions caused by the COVID-19 pandemic, it was unable to proceed as initially planned. It now alleges that the government is deliberately attempting to sabotage the contract to deprive it of its rights and benefits under the agreement.

During Wednesday’s proceedings, lead counsel for the plaintiff, Chief Wole Olanipekun (SAN), requested an adjournment to allow more time to respond to the defendants’ filings and to regularise an updated affidavit. The request was not opposed by the defendants.

In their separate counter-affidavits, the defendants urged the court to dismiss the suit, arguing that it lacks merit. De-Haryor Global Services Ltd, represented by Mr. Marcus Abu, maintained that the plaintiff had failed to fulfill its contractual obligations and had not shown any tangible progress on the project despite receiving over N39 billion in public funds.

According to De-Haryor, Ziklagsis deposited the disbursed funds into a fixed deposit account rather than using them to execute the project. The company insisted that it, in contrast, had already substantially executed its portion of the metering contract.

The outcome of the May 7 hearing is expected to determine the next phase in this high-stakes legal tussle over Nigeria’s electricity metering reform.

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