N400million debt: University College Hospital Management begs electricity company to give more time to repay
The University College Hospital (UCH), Ibadan in Oyo State has pleaded with the management of Ibadan Electricity Distribution Company (IBEDC) to grant it more time to clear its outstanding of N400 million electricity bills.
Penpushing reports that the Chief Medical Director of the health institution Dr Jesse Otegbayo, made the appeal in a letter to the distribution company, profusely begging the electricity company not to withdraw power services from its facility.
The one of the oldest hospitals in the country had its electricity disconnected for several days due to an outstanding debt, with the Chief Key Accounts Officer of the electricity company, Johnson Tinuoye, explaining that the drastic measure came after several attempts to engage with the hospital’s management regarding the substantial overdue balance, which had persisted for over six years, had failed.
Penpushing further reports that the Medical Director in the letter expressed appreciation to the electricity company for reconnecting it to the grid on Thursday, noting that the gesture had reawakened activities in the hospital.
The hospital boss while explaining on the agreement that prompted the reconnection said that management recognised that the balance of N52,439,217.94 from the N112,349.217.94, representing 25% of the total outstanding bill, was meant to be paid within 48 hours.
Penpushing also reports that Otegbayo pointed out that the 48-hour deadline falls on a Saturday and that the hospital would not be able to pay during the weekend and promised that the payment would be made on Monday, April 8, 2024
‘In the same vein, we also solicit your endurance for the payment of April bill plus the N50 million monthly repayment by 30 April, 2024. This is to enable the hospital to have ample time to source for funds. It shall be appreciated if the above requests are favourably considered’, he said.
Penpushing reports that the electricity distribution company in response advised management of the University College Hospital (UCH) to honour the terms and conditions agreed to in its quest for reconnection.
The letter emphasized that that the balance of N52 million from the N112 million, which represented 25% of the total outstanding balance, was expected to be paid not later than 6pm on Saturday, 6 April, as agreed.
Penpushing further reports that the electricity company reminded the hospital management that its April 2024 electricity bill would be out by Monday, 8 April, and that the institution was expected to pay in full, plus the N50 million monthly repayment from the total outstanding debt not later than 16 April 2024.
The electricity company emphasized that should the hospital management fail to meet the agreement that preceded the reconnection, it would withdraw power service, and that reconnection will only be done after the full payment of the total outstanding balance.
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