Connect with us

News

Darkness looms in Nigeria as GenCos threaten shutdown over unpaid N4tn debt

Published

on

678 Views

There is looming darkness in Nigeria as power generation companies threaten a showdown.

This is as unpaid debts from the federal government and other market operators surged to over N4 trillion.

Chairman of the Boardof Trustees of the GenCos, Rtd. Colonel Sani Bello, made threats known to journalists in Abuja on Monday.

GenCos lamented that the mounting liabilities were crippling their ability to operate and threatening a total shutdown of electricity generation in Nigeria.

“The power generated by GenCos has continued to be consumed in full without corresponding payment.

“This situation has dire consequences for the GenCos and, by extension, the entire power value chain,” he said.

Of the N4tn owed, N2tn is for electricity generated in 2024, while N1.9tn represents legacy debts.

GenCos noted that the 2025 national budget’s N900 billion allocation for the power sector is grossly inadequate to address those arrears and sustain future payments.

Bello described the situation as “a clear departure from existing terms of the Power Purchase Agreement,” adding that under current conditions, GenCos only receive about 9–11 ppercent of their invoices, while regulatory bodies and other service providers are paid in full.

The GenCos also highlight the sharp decline in collection rates— below 30 percent in 2024— which they say has worsened the liquidity crisis.

“The crises from cash liquidity are on the top burner and have reduced GenCos’ ability to continue to perform their obligations,” he said.

Further compounding the issue are operational costs denominated in U.S. dollars and limited access to forex.

“The importance of a specialised window or stable dollar allocation option for the GenCos cannot be overemphasised,” Bello said.

GenCos added that they were demanding urgent government action, including full settlement of outstanding invoices, reprioritization of the waterfall payment structure, and guarantees backed by institutions like the World Bank and AfDB.

“There is a need for a coordinated approach by all stakeholders to address the liquidity issue realistically and sustainably. This request requires urgent attention,” he added.

The Minister of Power, Adebayo Adelabu, has yet to respond to the matter as of the time of filing this report.

Continue Reading
Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

News

FG Withdraw Charges Against PFIPC DG Adeyemi

When the matter was called on Monday, the DPPF notified the court that the AGF, after a proper review of the case file, had found some loopholes that informed his decision to withdraw the charge.

Published

on

By

19 Views

The Federal High Court in Abuja on Monday struck out the eight-count forgery charge brought against the self-styled Director-General (DG) of the alleged “non-existent” Presidential Foreign Investment Promotion Council (PFIPC), Prince Adeniyi Adeyemi.

Justice Mohammed Umar terminated further proceedings in the case following an application by the Federal Government, which was represented by the Director of Public Prosecutions of the Federation (DPPF), Mr. Rotimi Oyedepo, SAN.

It will be recalled that although the charge was originally brought before the court by the police, the office of the Attorney-General of the Federation (AGF) took over the prosecution at the last adjourned date.

When the matter was called on Monday, the DPPF notified the court that the AGF, after a proper review of the case file, had found some loopholes that informed his decision to withdraw the charge.

He told the court that the government had concluded plans to move the case to the High Court of the Federal Capital Territory (FCT) for a fresh arraignment of the defendant.

Continue Reading

News

CJN Kekere-Ekun swears in 68 new SANs

During her address at the Supreme Court Complex in Abuja, Kekere-Ekun urged judicial officers to embrace reforms aimed at accelerating the administration of justice, citing the increasing number of cases before the courts.

Published

on

By

18 Views

Chief Justice of Nigeria, Justice Kudirat Kekere-Ekun, has sworn in 68 new Senior Advocates of Nigeria (SANs) at the ceremony marking the 2026/2027 legal year.

The Nigerian Television Authority (NTA) reported the development accompanied by a video and photographs shared on its official X handle, on Monday.

During her address at the Supreme Court Complex in Abuja, Kekere-Ekun urged judicial officers to embrace reforms aimed at accelerating the administration of justice, citing the increasing number of cases before the courts.

She also encouraged judges to leverage technology to improve the adjudication of cases.

Reviewing the judiciary’s performance in the year under review, the CJN disclosed that more than 2,000 cases were filed at the Supreme Court, with civil matters accounting for the majority.

Kekere-Ekun also cautioned legal practitioners against discrediting court judgments in the media.

Continue Reading

News

BREAKING: Fire Engulfs First Bank Branch Along Abuja-Keffi Road

Published

on

19 Views

A fire has broken out at a First Bank of Nigeria branch along the busy Abuja-Keffi Road, with thick black smoke billowing from the building this afternoon.

Videos circulating on social media show flames and heavy smoke rising from the structure, identified by multiple eyewitnesses as the First Bank location in the Mararaba/Karu area of the expressway. Bystanders can be seen attempting to douse the blaze with buckets of water amid reports that fire service response was delayed or absent in the initial moments.

The exact cause of the fire remains unconfirmed at this time. There are no immediate reports of casualties, though the full extent of damage to the bank building and any impact on surrounding properties or traffic along the heavily congested Abuja-Keffi corridor is still being assessed.

Emergency responders, including fire service personnel, are expected on the scene. Commuters and residents in the Nyanya-Mararaba-Karu axis are advised to exercise caution as the incident may cause further traffic disruptions on the already busy route.

Further updates will follow as more details emerge from official sources.

Continue Reading

Trending