Electricity generation firms reject N2.7bn charge by Nigeria’s bulk trader
NBET is a public liability company established by the Federal Government as a credit worthy off-taker of generated electricity in support of private sector investment in the NESI.
As part of efforts to reduce the burden, the Federal Government recently intervened by providing about N600 billion short term support to pay GENCOs for electricity generated and delivered. She said NBET claimed it received the approval of the Presidency to take over the processing of GENCos’ gas payment and impose the charge as a compulsory pre-condition for accessing the N600billion support fund.
“The generation companies are not aware that such approvals have been issued by NERC, nor is there any policy directive to this effect.”The APGC faulted NBET’s alleged imposition, arguing that the burden of failure by the Thermal GENCos to meet their contractual obligations to pay their gas suppliers should remain with them and taken over by any agency.
Considering that the GENCos are already paying 2.5 per cent of their total market payments to NBET for its role in the Nigerian electricity market, Mrs Ogaji said as the obligor for the GENCos, NBET should strategize to make them “WHOLE and not to create a gaping HOLE in their limited finances.
“We have been charging fees for third party payments. The claim that we want to take over payment for gas. That too is a big lie, because why that is happening is because they have been collecting money and don’t pay their gas suppliers.
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