President Bola Ahmed Tinubu, has given the Ministry of Finance instructions to pay the outstanding obligation related to gas supplies to the electricity industry.
Along with a payment guarantee, he has also issued directives for the repayment of the debt owed to the power generation companies (GenCos).
Under the theme “Towards Nigeria’s Sustainable Energy Future: Policy, Regulation, and Investment—A Policy Dialogue for the National Integrated Electricity Policy and Strategic Implementation Plan (NIEP-SIP),” Chief Adebayo Adelabu, the Minister of Power, made these remarks in Abuja during the ongoing 8th African Energy Market Place.
He claims that the band A power rate, which went into effect on April 3, 2024, cut production costs by 40%.
Read Also: The Nigerian Senate grants Tinubu’s $500 million World Bank loan for meters of electricity.
The Minister also disclosed that the Nigerian Electricity Supply Industry (NESI) has achieved a new record of 5,000 MW with the generation of 700 MW from the Zungeru hydroelectric power facility.
Adelabu stated that the electricity Distribution Companies (DisCos) are asking for additional load for subsequent distribution to the customers. Adelabu claimed that the adoption of the Electricity Act 2023 and the band A price have enhanced the supply of electricity.
The majority of DisCos are insolvent, according to Engineer Sanusi Garba, head of the Nigerian Electricity Regulatory Commission (NERC).
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