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Power Outages: We Have Settled 87% of Your Invoices, Nigeria Tells Generating Companies

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By Derrick Bangura

Nigeria’s federal government announced on Thursday that it had settled approximately N3.5 trillion in power generation companies (Gencos) invoices out of a total of N4 trillion (approximately 87.5 percent) issued by the electricity generators.

According to the Nigerian Bulk Electricity Trading Company (NBET) Plc, a Special Purpose Vehicle (SPV) set up by the federal government to act as an intermediary between power generators and distributors, the amount represents close to 90% of the total debt.
Speaking on the state-owned Nigerian Television Authority (NTA), Managing Director of NBET, Dr. Nnaemeka Ewelukwa, explained that with that amount , the government has shown a strong commitment to keeping the sector afloat despite the challenges of funding.

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Although most of the funding is not directly from the federal government, as an intermediary, the NBET collects market remittances for onward payment to the Gencos.
But the new figure runs contrary to the position of the Association of Power Generation Companies (APGC), umbrella body of the Gencos, which during the week stated that the power supply situation in the country was worsening because the generation companies were being owed over N1.6 trillion.

APGC’s Executive Secretary, Dr Joy Ogaji, argued that a situation where the energy dispatched by the power generators is used as an index for power generation capacity was detrimental to the Gencos’ survival.

In the past couple of weeks, the already bad power supply situation in the country had worsened as the players in the sector continued to trade blames as to whose table the buck stops. “Currently, on capacity, we are owed N1.644 trillion,” Ogaji, who speaks for the group stated.
But Ewelukwa, who disputed the figure, maintained that it wasn’t the right time to point accusing fingers, explaining that as a system, the power sector must work together to alleviate the pains currently faced by customers.

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“To be very clear, the indebtedness is about one third of that. The government like I said, through NBET has paid close to 90 per cent of what is owed generation companies. So the current debt, just to be clear, is about one third of that. That’s about N555 billion, excluding interest.
“Just to again clarify on the issue of indebtedness, when you hear of NBET’s debts, what I really mean is the sector debt. Now, I mentioned earlier that the total indebtedness stands at about N555 billion, excluding interest.

“Over the 2015 to 2017 markets, when NBET started trading, to date, we’ve received invoices of about N4 trillion from generation companies. Of this N4 trillion, NBET has paid N3.46 trillion and so the balance that you find at the moment, the federal government is working to address holistically the funding challenges of the electricity market,” he stated.
According to him, the federal government has shown “absolute commitment” to ensuring the survival of the power sector by ensuring that even as critical reforms are going on, payments continue to be made to the generation segment to ensure that there’s continuity.

He noted that the government was confronting the challenges in the sector on two fronts: one, by trying to sort out the illiquidity challenges of the market and two, carrying out reforms aimed at sorting out the infrastructural challenges of the power sector.

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“So, the narrative regarding NBET role is that NBET is the vehicle through which the federal government is channelling serious funding to what is meant to support the upstream segment of the value chain, that is generation companies,” he stated.

He added that the current issues were neither generation only nor transmission and distribution, but a value chain problem.
To address the issues, he explained that earlier in the week, there was a ministerial meeting of critical stakeholders aimed at ensuring that the sector doesn’t get into a crisis situation, followed by finger pointing.

In his comments, the TCN Acting Managing Director, Mr Sule Abdulaziz, admitted that there have been some issues with the grid, attributable to the fact that “most of the generation stations that are generating light have one issue or the other.”
“Most of the issues are related to the lack of gas. Some of the units out there have no gas to put them on. Some are on general maintenance, whereas we have one or two issues of vandalism.

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“A line was vandalised and we lost three units at Okpai. So all these contributed to the number of megawatts that are coming to the grid. For almost two, three years in this country, what we normally have every day is around 5,000 megawatts. Sometimes it will go down to 4,000 megawatts or 3,500 megawatts.
“But with this situation we are in now, the megawatts have run down to almost 3,000 megawatts and 3,000+ megawatts.
“Now the grid is very fragile. It cannot stand all these changes. And unfortunately on Monday, we had system disturbances, meaning that the grid went down. The same thing happened on Tuesday,” he stated.

But he added that the grid had been restored, assuring Nigerians that “we are on top of the situation and things are getting better now.”

“We have an installed capacity of around 13,000 megawatts. So if all these units will work and there are no questions of gas, no question of water on the hydro, we are even able to generate 13,000 megawatts, not even 7, 000megawatts that you are talking about.

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“ So, it is just because of some factors, that’s why we’re not getting the required power we need,” he explained.

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Akwa Ibom APC Gears Up to Receive President Tinubu as Governor Umo Eno Joins Party

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The All Progressives Congress (APC) in Akwa Ibom State has announced its readiness to host President Bola Ahmed Tinubu and other top party leaders as it officially welcomes Governor Umo Eno into its ranks.

Speaking at a press briefing in Uyo on Friday, APC chieftain and former presidential aide, Senator Ita Enang, disclosed that the party was fully prepared to receive the president, Vice President Kashim Shettima, APC National Chairman, and governors elected on the party’s platform for the historic reception.

Governor Umo Eno had on June 6 formally defected from the Peoples Democratic Party (PDP) to the APC, in a move widely described as a political game-changer in Akwa Ibom.

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Enang, a former Special Assistant to the President on National Assembly and Niger Delta Affairs, said the governor’s defection had effectively aligned the state with the central government.

He assured Governor Eno and his supporters that the APC would embrace them wholeheartedly and honour all agreements reached.

“As progressives, we shall work with the governor and his supporters to ensure that they fit into the party without hitches,” Enang stated. “We will also work with them to align programmes of the state government with the ideals and manifesto of the party.”

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He further described the governor’s move as a “merger” that promises significant benefits for Akwa Ibom and its citizens.

The planned reception is expected to mark a major political event in the state, signaling a realignment of forces ahead of future elections.

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Ekiti Launches Aggressive Anti-Flood Campaign, Dredges Ofigba River

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The Ekiti State Government has intensified efforts to prevent flooding across the state with the launch of a comprehensive dredging campaign, targeting critical waterways in both rural and urban areas.

Chairman of the Ekiti State Environmental Protection Agency (EKSEPA), Chief Bamitale Oguntoyinbo, disclosed this on Friday during an inspection visit to the ongoing dredging project at the Ofigba River in Ise-Ekiti.

Oguntoyinbo, who was accompanied by EKSEPA board members, said the visit was to assess the progress of work being carried out to mitigate flood risks in the community. He expressed satisfaction with the pace and quality of the dredging work.

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“I and other board members of EKSEPA are delighted with the level of job done by the site engineer because he is actually working with the directives of three-kilometer dredging of waterways,” he said.

According to him, the dredging commenced on June 4, and so far, 1.8 kilometers of the river have been successfully cleared.

He applauded Governor Biodun Oyebanji for prioritizing the safety and welfare of residents by initiating the state-wide anti-flooding campaign.

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“I want to commend our amiable governor, Mr. Biodun Oyebanji, for embarking on zero tolerance campaign against flooding in every community and town in Ekiti,” Oguntoyinbo stated.

He also praised the General Manager of EKSEPA, Mr. Olukayode Adunmo, for his commitment to the project’s supervision and success.

In his remarks, Adunmo emphasized the urgent need to clear waterways choked by refuse, which impede water flow and contribute to flooding during the rainy season.

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“Dredging of Ofigba River in Ise-Ekiti in Ise/Orun Local Government Area is necessary because some of the waterways have been blocked by refuse,” he explained. “There is the need for us to remove every blockage to enhance free flow of water and avert flooding during heavy rainfall.”

Adunmo also commended Governor Oyebanji for taking proactive steps to protect lives and properties across the state.

Residents of Ise-Ekiti have welcomed the government’s intervention. Chief Godwin Ojo, a community leader, expressed gratitude to the governor for his timely action.

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“We thank the governor for the move to avert flooding in our community,” Ojo said. “May God grant him more wisdom to pilot the affairs of the state to an enviable height.”

The dredging campaign forms part of the Oyebanji administration’s broader commitment to environmental safety and disaster prevention.

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Tinubu to visit Kaduna Thursday to inaugurate key projects

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Tinubu commiserates with Akwa Ibom governor over wife’s death

President Bola Tinubu is expected in Kaduna State Today Thursday for the inauguration of several key developmental projects executed by the administration of Gov. Uba Sani.

The News Agency of Nigeria (NAN) reports that the visit forms part of activities marking Sani’s two years in office.

The projects lined up for inauguration include the 300-bed Specialist Hospital in Millennium City, Kaduna, built by the state government to bolster the provision of healthcare services.

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Tinubu will also inaugurate the Institute of Vocational Training and Skills Development in Rigachikun, road projects in Soba, and Samaru Kataf LGA’S as well as the 24-kilometre Kafanchan Township Road.

Others are the Tudun Biri Road, the 22km road linking Kauru and Kubau LGAs as well as the Vocational and Skills Training Centre in Tudun Biri.

Tinubu is also expected to unveil 100 Compressed Natural Gas (CNG) buses, as part of efforts to modernise the state’s public transportation system.

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The projects are part of the administration’s focus on infrastructurde evelopment, healthcare delivery, youths empowerment, and economic growth.

The state government described the visit as a significant moment for the people of Kaduna and an opportunity to showcase ongoing efforts to transform the state through impactful governance.

Sani, who marked his second year in office this month, has prioritised human capital development, rural infrastructure, and jobs creation since taking office in 2023.

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Tinubu’s visit to Kaduna State was rescheduled from Wednesday to Thursday.

He was initially supposed to visit Kaduna on Wednesday, but due to the recent attacks in Benue, he shifted his trip.

The president visited Benue on Wednesday to commiserate with the victims of the recent attacks and assess the humanitarian crisis.

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During his visit to Benue, Tinubu met with stakeholders, including traditional rulers, political and community leaders, and youth groups, to seek lasting solutions to the hostilities.

He also condemned the ongoing violence and called on the residents to embrace peace and mutual understanding.

NAN recalls that the Benue Government had declared a work-free day for Tinubu’s visit, urging the residents to turn out in large numbers to welcome him.

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