According to the Nigerian Electricity Regulatory Commission (NERC), the international customers include: Société Béninoise d’Energie Electrique (SBEE) of Benin Republic, Compagnie Energie Electrique du Togo (CEET) and NIGELEC- electric power generation and transmission utility in Niger.
As revealed in the regulator’s quarterly report, in the fourth quarter of 2022, Transcorp-SBEE, Mainstream-NIGELEC, Paras-SBEE and Odukpani-CEET received invoices of $3.44 million, $5.50 million, $3.03 million and $2.02 million respectively from the market operators.
Of the total invoice received in the period, Transcorp-SBEE and Mainstream-NIGELEC made remittances of $0.93 million and $5.44 million respectively, while no remittance was made to the MO by Paras-SBEE and Odukpani-CEET.
In the third quarter, a total invoice of $11.05 million was received by the companies as follows; Transcorp-SBEE, Mainstream-NIGELEC and Odukpani-CEET received invoices of $1.85 million, $5.67 million and $1.71 million respectively from MO and made remittances of $1.20 million, $5.55 million and $1.67 million respectively.
However, no remittance was made to the MO by Paras-SBEE against an invoice of $1.92 million.
Also, in the second quarter of 2022, Transcorp-SBEE and Mainstream-NIGELEC received invoices of $2.42 million and $5.56 million from MO and remitted $2.42 million and $5.55 million respectively.
Paras-SBEE and Odukpani-CEET also received invoices of $2.39 million and $2.03 million respectively from the market operators during the period but no payment was made by these customers.
During the same period, Ajaokuta Steel Company was invoiced ₦264.76 million and ₦66.71 million by NBET and MO respectively, however it made no remittance.
Similarly, NERC stated that in the first quarter of 2022, bilateral customers; Paras-SBEE, Transcorp-SBEE, and Mainstream-NIGERLEC received invoices of $2.72 million, $2.74 million and $4.61 million from MO and each remitted $2.72 million , $2.74 million, and $4.52 million respectively.
It also stated that no payment was made by Odukpani-CEET as it received an invoice of $3.42 million from MO during the period.
On the performance of distribution companies (DisCos) in Nigeria during the period, the report showed that the combined invoices issued to the DisCos in 2022 stood at N826.49 billion. From this amount, the DisCos collectively remitted a total sum of N617.71 billion.
Further breakdown showed that the combined invoices issued to the DisCos in 2022/Q4 was ₦231.01 billion consisting of: generation costs from the Nigerian Bulk Electricity Trading Company (NBET): ₦188.74 billion; transmission and administrative services from the Market Operator (MO): ₦42.27 billion.
From this amount, the DisCos collectively remitted a total sum of ₦181.78 billion (₦145.91 billion for NBET and ₦35.87 billion for MO) with an outstanding balance of ₦49.23 billion.
In third quarter, the combined invoices issued to the DisCos was ₦204.84 billion split as follows: generation costs from the Nigerian Bulk Electricity Trading Company (NBET) ₦164.34 billion; transmission and administrative services from the Market Operator (MO) : ₦40.50 billion.
Out of this amount, the DisCos collectively remitted a total sum of ₦173.55 billion (₦140.67 billion for NBET and ₦32.88billion for MO) with an outstanding balance of ₦31.29 billion.
Also, the combined invoices from NBET1 and MO to DisCos in 2022/Q2 was ₦185.01 billion split as follows: generation costs: N149.89 billion; transmission and administrative services: ₦35.12 billion.
Out of this amount, the DisCos collectively remitted a total sum of ₦126.69 billion (₦102.35 billion for NBET and ₦24.34 billion for MO) with an outstanding balance of ₦58.32 billion.
“The combined invoices from NBET (MRO1 adjusted) and MO to DisCos in 2022/Q1 was ₦205.63 billion split as follows: generation costs – ₦164.86 billion; transmission and administrative services – ₦40.77 billion.
‘’Out of this amount, the DisCos collectively remitted a total sum of ₦135.69 billion (₦109.96 billion for NBET and ₦25.73billion for MO) with an outstanding balance of ₦69.94 billion,’’ NERC stated.
Poor remittance, according to NERC is a direct consequence of the DisCos recording higher than allowed aggregate technical, commercial and collection (ATC&C) losses.
