NNPC's unpaid bills could dim power stations, halt gas, petrol supply

• The FG is urgently moving to resoluteness energy tariff and outgo issues threatening state proviso to NNPC-run powerfulness plants
• Officials raised concerns implicit delayed payments and tariff shortfalls that could disrupt the powerfulness proviso and harm the economy
• The authorities plans to prosecute successful further talks to find sustainable fiscal solutions, arsenic the assemblage grapples with mounting debts

Legit.ng writer Victor Enengedi has implicit a decade's acquisition covering Energy, MSMEs, Technology, Banking and the Economy.

The Federal Government is readying urgent enactment to hole problems with energy tariffs that are disrupting state proviso and payments astatine large powerfulness plants tally by the Nigerian National Petroleum Company Limited (NNPC).

This was discussed during a gathering successful Abuja astatine the NNPC Towers, involving the Minister of State for Petroleum Resources (Gas), Ekperikpe Ekpo; the Minister of Finance, Wale Edun; and apical officials of NNPC, including Dr. Salihu Jamari, who stood successful for the Executive Vice President of Gas, Power, and New Energy.

Nigeria's gas, petrol proviso threatened arsenic NNPC look powerfulness tariff challenge
Source: Facebook

FG steps successful implicit unpaid debts

A connection from Ekpo’s media aide, Louis Ibah, stated that the talks focused connected resolving fiscal and argumentation issues affecting powerfulness stations successful Maiduguri, Okpai (Phase 2), and Kano (Phase 1).

NNPC officials raised concerns astir delayed payments and pricing gaps successful the energy marketplace that endanger the endurance of these gas-powered plants.

They warned that without speedy action, the powerfulness proviso successful captious areas could beryllium astatine risk, which would negatively impact the system and regular life.

The connection read:

“NNPC Ltd warned that without timely intervention, powerfulness proviso to cardinal regions whitethorn beryllium jeopardised, with imaginable economical and societal impacts.”

Ekpo emphasised that resolving these issues is important for maximising the imaginable of Nigeria’s gas-to-power systems, peculiarly successful regions specified arsenic Maiduguri and Kano, and for enhancing proviso to the nationalist grid.

FG appeals to cardinal lipid assemblage players

Finance Minister Edun agreed, saying each cardinal players indispensable enactment unneurotic to make a coagulated fiscal program that volition support these powerfulness stations moving and enactment nationalist development.

The gathering ended with a program to impact the Minister of Power successful a follow-up gathering to find workable solutions arsenic soon arsenic possible.

Nigeria’s powerfulness assemblage is struggling with fiscal challenges, made worse by subsidies and debased metering coverage.

Nigeria's gas, petrol proviso threatened arsenic NNPC look powerfulness tariff challenge
Source: Getty Images

Although the authorities pledged to subsidise energy for astir consumers, it says it can nary longer spend the N200 cardinal monthly cost.

This has near energy organisation companies incapable to cod capable revenue, starring to ample debts owed to powerfulness generators and state suppliers.

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Source: Legit.ng