FG Says 3 African Countries Owe Nigeria $5.7 Million in Electricity Bill in 2024

• The Nigerian National Electricity Regulatory Commission (NERC) said about three countries owe Nigeria $5.7 million in electricity bill
• The commission said the amount covers the bill for electricity supply for the third quarter of 2024
• The electricity regulator disclosed that market operators issued over $12 million in invoices to the affected customers in the review period

Legit.ng’s Pascal Oparada has reported on tech, energy, stocks, investment and the economy for over a decade.

The Nigerian Electricity Regulatory Commission (NERC) says international clients owe $5.7 million in electricity bills for Q4 2024.

The customers include Paras-SBEE and Transcorp-SBEE from Benin Republic, Mainstream-NIGELEC in Niger, and Odukpani-CEET from Togo.

Nigeria sells electricity to three African countries

Under an international convention, Nigeria sells power to neighbouring countries such as Benin Republic, Togo and Niger.

NERC disclosed in its latest quarter report that market operators issued an invoice of $12.19 million to six companies, of which $6.49 million was paid.

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According to the commission, in the third quarter of 2024, six international bilateral customers from the grid-connected to generating companies (GenCos) paid $6.49 million against the $12.19 million invoice issued to them by operators for their services in the review period.

The regulator stated that the domestic bilateral customers paid N1,566.51 million against the N2,100.79 million invoice issued by operators for their services in 2024.

Some countries offset some debts

Regarding outstanding invoices, NERC said some bilateral clients, domestic and international, paid some amounts in Q3 2024 for outstanding operators’ invoices from previous periods.

The NERC report said Odukpani-CEE paid $1.33 million towards outstanding invoices from previous quarters.

Also, market operators received N31.51 million from domestic bilateral customers, such as North-South/Star Pipe, at N9.50 million, and Trans-Amadi, at N22.01 million, for outstanding invoices from previous quarters.

NERC orders a cap on the power supply

In May this year, NERC ordered operators to cap supplies to international customers at six per cent of domestic supply.

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The regulator said the move was to boost power supply to domestic consumers.

The affected countries include Togo, Benin Republic and the Niger Republic.

NERC threatens to disconnect Ajaokuta Steel Company

NERC disclosed that Ajaokuta Steel company and the host community had yet to pay for the N1.26 billion and N0.11 billion invoices received in the review period.

The agency disclosed that the company has continued a longstanding trend of non-payment and has escalated the need for intervention regarding the issue to the relevant government agencies.

NERC threatened total disconnection if the trend continues.

Reports say that in September, the minister of steel development, Shuaibu Audu, signed a memorandum of understanding with the Ajaokuta steel plant management for the rehabilitation, completion, and operation of the plant and the National Iron Ore Mining Company (NIOMCO).

NERC Issues warning to Nigerians using prepaid metres

Legit.ng earlier reported that NERC reminded Nigerians to update their metres before the November 2024 deadline.

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The regulator announced this via its social media account on X, stating that consumers would be disconnected if action is not taken.

NERC warned that consumers who fail to upgrade may be unable to recharge their electricity after the deadline.

Proofread by Kola Muhammed, journalist and copyeditor at Legit.ng

Source: Legit.ng