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NBET owes power producers over N1tn – Gencos

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The country’s power producers have said that the Nigerian Bulk Electricity Trading Plc, is owing them over N1trn.

This they said is threatening their viability and undermining their ability to invest more.

The government-owned NBET buys electricity in bulk from generation companies through Power Purchase Agreements and sells through vesting contracts to the distribution companies, which then supply it to the consumers.

Estimates that the trading company has amassed N1tn debt to power producers since 2013 are “extremely conservative,” the Executive Secretary, Association of Power Generation Companies, Dr Joy Ogaji,  said in an interview.

“To be frank, I’m afraid for the survival of the industry in the next six months,” she added.

“My contract is with NBET to put power on the grid and be paid 100 per cent for it. Whether your off-takers are paying you or not, that shouldn’t be my problem,” Ogaji said.

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