Exported electricity debt: Togo, Benin.Rep, Niger owe Nigeria N9.6bn in second quarter, 2023 

Oredola Adeola

Nigeria’s international electricity customers, including Togo, Niger, and the Benin Republic, owe a total of $12.67 million (N9.6 billion at N760/USD$ as of June) out of $14.1 million power billed to them in the second quarter of 2023, 2023/Q2.

The Nigerian Electricity Regulatory Commission (NERC) made this known in its quarterly report, reviewed by EnergyDay.

EnergyDay’s check established that the four (4) international customers serviced by the MO includes Transcorp- Société Béninoise d’Energie Electrique (SBEE) of Benin Republic, Paras -SBEE, Benin.Rep, Odukpani- Compagnie Energie Electriques du Togo (CEET) and Mainstream- Nigerien Electricity Society (NIGELEC) power utility firm in Niger Republic.

According to the report, only Transcorp-SBEE, out of the four (4) international customers serviced by the MO, made a payment of $1.43 million against an invoice of $2.13 million issued for services rendered in 2023/Q2.

The 3 other international customers did not make any payment against the $11.97 million invoice issued to them by the MO for services rendered in 2023/Q22.

PARAS-SBEE received an invoice of $1.13m in April and paid nothing, and also received invoices of $0.95m in May and $0.86m in June but failed to make any remittance to MO.

TRANSCORP/SBEE received an invoice of $1.41m and paid $1.43m in April, $0.41m in May, and $0.31m in June but remitted nothing for the two months.

MAINSTREAM/NIGELEC was issued invoices of $1.93m in April, $1.87m in May, and $1.54m in June but failed to remit any amount in the three months.

ODUKPANI/CEET also received invoices of $1.34m in April, $0.97m in May, and $1.39m in June but failed to remit any payment for the three months.

SPECIAL CUSTOMER

The details of these payments showed that the special customers (Ajaokuta Steel Co. Ltd and the host community) did not make any payment towards the ₦0.56 billion (NBET) and ₦0.08 billion (MO) invoices received in 2023/Q2.

This continues a longstanding trend of non-payment by this customer and the Commission has communicated the need for intervention on this issue to the relevant FGN ministries.

BILATERAL CUSTOMERS

On the other hand, the bilateral customers made a total payment of ₦816.66 million against the cumulative invoice of ₦2,845.08 million issued to them by the MO for services rendered in 2023/Q23.

EnergyDay gathered that the bilateral power contracts are agreements between electricity distribution companies (DisCos) and generation companies (GenCos) for the direct sale of power.

In March 2023, the Nigerian Electricity Regulatory Commission (NERC) gave some DisCo the permission to commence the implementation of bilateral contracts with GenCos of their choice.

Therefore, the total payment of ₦816.66 million against the cumulative invoice of ₦2,845.08 million issued to them by the MO for services rendered in 2023/Q23, translated to a remittance performance of 28.70% for the quarter under review.

It is also noteworthy that the bilateral customers made payments during 2023/Q2 for outstanding MO invoices from previous quarters.

According to the report, INNER GALAXY was issued an invoice of ₦724.74 million for the power supplied by MSTM in 2023/Q2, out of which a sum of ₦257.77 million was remitted.

KAM IND was also issued an invoice of ₦37.67 million for power supplied by MSTM, and a sum of ₦9.16 million was remitted in the quarter.

KAM INT remitted ₦34.22 million to MO for the power received from MSTM, out of ₦79.11 million it was billed during the quarter.

However, SUNFLAG and WEEWOOD did not make any repayment for the ₦23.19 million and ₦61.16 million invoices issued to them respectively by MO for the power supplied from the NDPHC power plant.

Similarly, STAR P was issued an invoice of ₦33.20 million by MO for the power it received from NORTH SOUTH power plant but failed to make any remittance.

Obafemi Awolowo University was also issued an invoice of ₦31.80 million by MO for the power it received from TRANS AMADI, but the management of the University did not make any remittance.

MSTM also issued an invoice of ₦30.84 million to ADFV, out of which a sum of ₦8.73 million was remitted. Eko Electricity Distribution Company was issued an invoice of ₦1,219.09 million by MO, out of which a sum of ₦415.71 million was remitted.

PULKIT was also billed ₦23.71 million by MO but failed to make remittance for the power it received from NDPHC’s OMOTOSHO II power plant.

MO billed PRISM ₦220.48 million in the period under review and received the sum of ₦81.33 million for the power received from MAINSTREAM hydro-power plant.  

MO also charged APLE ₦271.91 million for the period and received nothing from the company in the period for the power it received from ALAOJI GenCo, while KAM STEEL paid nothing to MO after it was issued an invoice of ₦58.04 million for the power from TAOPEX power plant. 

 ZEBERCED was issued an invoice of ₦24.63 million by MO and paid ₦9.75 million for MSTM plant, while MO issued FMPI an invoice of ₦5.51 million but received nothing in the period for the power supplied by TRANS AMADI power plant.the