Current News in The Country
CBN, NBET others owe FG N190bn for electricity supply
The Niger Delta Power Holding Company (NDPHC) recently disclosed that several government entities owe a substantial sum of N190 billion for electricity supplied between 2015 and May 2023.
Chiedu Ugbo, the Managing Director, highlighted this debt owed by the Central Bank of Nigeria, the Nigerian Bulk Electricity Trading Plc, and the Nigerian Electricity Liability Management Company.
This significant debt has hindered NDPHC's ability to fulfill various obligations, including operational expenses, payments to gas suppliers, and more.
The unpaid invoices, along with the lack of payment for the availability of electricity, have accumulated, impacting their operations and ability to generate power efficiently.
Ugbo expressed concern about their capacity utilization, stating that despite having the potential to generate up to 2000MW, they are presently operating at only 975MW out of their ten plants with a combined capacity of 4000MW.
The financial strain caused by these outstanding debts has also affected their ability to pay for gas supply, which is crucial for power generation.
To navigate this challenging situation, NDPHC has resorted to cutting costs and relying on internally generated revenue and governmental interventions.
However, Ugbo stressed the urgent need for private capital mobilization to address liquidity challenges and invest in transmission infrastructure, emphasizing that government efforts alone might not be sufficient.
Engr. Abdullahi Kassim, Executive Director of Generation, outlined NDPHC's plan to overcome these challenges through the 'Light-up Nigeria Initiative.' This program aims to leverage their generation assets to provide reliable power to eligible customers, distribution companies, and project developers.
By focusing on selling to bulk purchasers and load aggregators, they hope to alleviate the financial strain and effectively utilize their capacity to light up homes and businesses, aiming to provide more than 97% of generated power to the masses.
The crux of NDPHC's plea lies in the need for prompt resolution of outstanding debts, access to private investment for infrastructure enhancement, and leveraging initiatives like the 'Light-up Nigeria Initiative' to ensure a more stable and consistent power supply for the nation.
Fuel price may drop over arrival of petrol vessels at Port
The Independent Petroleum Marketers Association of Nigeria (IPMAN) has hinted at a possible decrease in the pump price of petrol in the coming days.
This projection is based on the increased availability of Premium Motor Spirit (PMS) owing to substantial imports facilitated by the Nigerian National Petroleum Company (NNPC).
Ukadike Chinedu, the National Public Relations Officer of IPMAN, shared this insight, emphasizing that as the fuel products become more readily accessible at filling stations, consumers might witness a reduction in fuel prices.
He attributed the recent surge in fuel costs to a drop in supply, signaling that an upsurge in availability could positively impact pricing.
This positive outlook aligns with the Nigerian Port Authority's confirmation of the arrival of 18 ships carrying fuel and assorted items at the Lagos port. However, just days ago, IPMAN and NNPC found themselves at odds regarding the cause of fuel queues reappearing in various parts of the country, including Abuja, Nasarawa, and Niger.
IPMAN attributed the scarcity to a shortage in fuel supply, while NNPC cited a 'price war' as the underlying cause. Despite this discrepancy in explanations, the recent influx of fuel-carrying ships and the concerted efforts of the NNPC in importing fuel may soon mitigate supply shortages, potentially leading to a welcomed reduction in petrol prices at the pumps.
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