Power firms owe us N160bn – NDPHC

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NDPHC
NDPHC

THE Niger Delta Power Holding Company, NDPHC, has said that the power sector is owing them N160 billion. Chiedu Ugbo, managing director, NDPHC, said only about 30 percent of the power supplied to the national electricity grid by the NDPHC was being paid for by the sector.

Speaking at the headquarters of the power firm in Abuja, Ugbo said if not for the intervention of the federal government through its payment assurance facility, it would have been practically impossible for power generation companies to produce electricity. “On the level of indebtedness, I don’t evacuate all that I generate, but only get to evacuate about 20 percent based on the constraints in the sector and out of this we don’t get 70 percent of the payment. We only get about 30 percent.

“As at the last time I checked, as of May 31, we were owed N190 billion, although some payments have come from the payment assurance. So it should be somewhere around N160 billion now. And this is for electricity generated, sold to the grid, consumed but not paid for. It is not the opportunity we lost, it is actually the service we offered, the goods we sold and is unpaid for,” he said.

Ugbo said his firm had started supplying power directly to eligible customers, as means of shoring up its revenue in order to be able to run the company. Eligible customers are direct customers of generation companies and they do not get supply from the power distribution companies nor use the Discos assets. They are primarily customers of generation companies.

NDPHC is Nigeria’s power company fully subscribed to by the federal, state and local governments with a mandate to manage the power projects tagged ‘National Integrated Power Projects.’

– Sept. 25, 2020 @ 15:05 GMT |

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