The House of Representatives’ Committee on Public Accounts, chaired by Rep. Bamidele Salam, has commenced legislative steps towards resolving the lingering crisis over the N632 billion debt owed by the Nigerian Bulk Electricity Trading Company (NBET) from 2015 to July 2026.

Speaking during the investigative hearing, the Managing Director of the Niger Delta Power Holding Company (NDPHC), Mrs Jennifer Adighije, explained that the N632 billion debt owed by NBET consisted of N388 billion, following reconciliation in March 2025, owed between January 2015 and March 2025, as well as N233.18 billion owed between April 2025 and July 2026.

While noting that the high debt affected the company’s operations, she observed that the N40 billion paid by NBET after the reconciliation was in breach of the agreement reached by both parties.

Mrs Adighije observed that the company, which was established in 2005 and incorporated as a limited liability company, had over the years invested trillions of naira to build and sustain power generation plants, construct transmission projects to support the Transmission Company of Nigeria (TCN) and support transmission plans, as well as build distribution injection substation lines to support distribution companies in the downstream electricity market.

“But unfortunately, the electricity market being operated continues to be flawed, which seriously affects our liquidity and also impairs our operations in terms of delivery of capital projects,” she lamented.

She disclosed that the debt recovery plans she initiated upon assuming office had yielded positive results, including the recovery of a significant part of the $60 million owed by a bilateral customer in Togo and the clearance of about 95 per cent of the N9 billion owed by Eko DISCO.

While noting that the private GENCOs had been paid by NBET, she urged that NDPHC should be prioritised in the second tranche.

Responding to the allegation, the NBET Managing Director/CEO, Mr Akin Opeyemi, who confirmed the debt, disclosed that President Bola Tinubu and the Federal Executive Council (FEC) had approved a N4 trillion multi-sector instrument to clear all liabilities from February 2015 to March 2025.

He assured that, as long as the liabilities were verified for that period, there was approval to approach the capital market, raise funds and settle them, adding that while N1.23 trillion had been raised so far, the agency intended to increase the bond to N2 trillion before the end of 2026.

While noting that the N233.18 billion owed by NBET was not covered by the bond, which applied to liabilities from April 2025 to date, he explained that most of those liabilities were still owed by the DISCOs as a result of tariff shortfalls.

Opeyemi, who noted that there was provision for tariff shortfalls in the agency’s annual budget, disclosed that N40.38 billion had been paid in June 2026 into the escrow account from the debt accrued from 2015 to July 2025, while N154,644,045,89.45 was paid from the debt accruing from April 2025 to June 2026.

In her presentation, the NBET Chief Financial Officer also confirmed the payment of N233,187,167,804.76, adding that the invoices received by the agency were split into two, with one portion going to the DISCOs while the second, which goes to the Federal Government, was funded through the power sector reform coffers in NBET’s budget.

While noting that the funds captured in the agency’s budget had not been released by the Federal Government, the CFO blamed the DISCOs for failing to meet their financial obligations to NBET.

She, however, assured that for the 2025/2026 debt, N800 billion had been approved, out of which N179 billion was being processed and was in the queue. She added that the agency had requested the Minister of Finance to increase the N1.23 trillion to N2 trillion before the end of the year, just as she noted that all the debt had been negotiated downwards to N3.3 trillion.

While speaking, the lawmakers, who lamented that members had been procuring hundreds of transformers for their various constituencies while DISCOs collected the revenue, frowned at the push for cost-reflective pricing, which they argued would further impoverish Nigerians.

While ruling, Rep. Salam issued a three-week ultimatum to NBET to provide the repayment framework, while underscoring the need to liaise with the Office of the Accountant-General of the Federation. (Nigerian Tribune)