Nigeria’s electricity generating companies are getting a fresh cash payment of eighty-five billion Naira via the bulk buyer, NBET and this should ensure the lights remain on as the country makes a transition to a more service reflective tariff regime.
Businessday learnt that the payment being made by the Central Bank began on Friday and should be completed by Monday with the aim of cutting the debt owed the GenCos and gas suppliers.
A senior government official said the payments are being made after independent verification and certification of debt by NBET.
Read also:DisCos face bleak future over N930bn debt in unpaid invoices owed NBET
Nigeria’s electricity sector is undergoing a big shift away from its subsidy-dependent past to a future where a functioning electricity market is enthroned and the various value chains made to work.
This will stir new investor interest and attract badly needed capital expected to catalyze the growth in power availability for Nigerians.
Nigeria’s national grid carries not more than 4500MW of electricity in a nation where over 22 million small gasoline generators account for more than 42,000MW of power according to research.
Join BusinessDay whatsapp Channel, to stay up to date
Open In Whatsapp
