N99bn Debt Could Cripple Integrated Power Projects

The operational efficiency of the 10 power plants built under the National Integrated Power Projects scheme is being threatened by a debt of N99bn owed the managers of the facilities.

According to the Niger Delta Power Holding Company, the NIPP managers, the total worth of electricity supplied to power distribution companies by the power plants, which has not been paid for is N99bn.

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The Managing Director, NDPHC, Mr. James Olotu, stated that although the power distribution companies had distributed the electricity generated by the NIPPs to consumers, the NIPP managers were still owed close to N100bn.

Olotu, who spoke at the headquarters of the firm in Abuja while playing host to the Governor of Enugu State, Ifeanyi Ugwuanyi, stated that the huge debt burden was impacting negatively on the operations of the NIPPs.

He urged the ministries, departments and agencies of all levels of government as well as individual power consumers to cultivate the culture of paying their electricity bills so as to ensure the survival of the sector.

Olotu said, “It is imperative that for you to keep the synergy between the input and the output of power, you need to be paid and this payment must be made as and when due. This is to ensure that you do not create a debt profile and make yourself a debtor to the people who provide you with services and products, especially gas.

“For the moment, there is no trust in the system; where a man can say if ‘I give your company gas, I will be paid and the payment will be within a short time’; then, there will be altercations in the system. Some of these altercations could be that you will be having inadequate gas supply and you experience inadequate production, distribution and transmission, which is really the problem that we have right now.

Source PUNCH

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Daniel Enisan is a content writer at edliner.com. With a degree in mass communication, Daniel is a full breed journalist. Daniel is a realist, loves the use of sarcasm, a movie and music junkie. He is also a poet and a good listener.

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