Apparently, the power sector issues might be worse than we first feared. Reports have emerged stating that the Nigerian power sector Illiquidity has hit N1 trillion as the Association of Nigerian Electricity Distributors (ANED) called on the Federal Government to probe the Nigerian Bulk Electricity Trading (NBET) Plc over inflation of invoices to Electricity Generation Companies (GenCos).
Its Director of Research and Advocacy, Mr Sunday Oduntan at a briefing in Abuja, said NBET and power generators have to open their books for scrutiny. He called for immediate intervention in the power sector to make it more sustainable, stressing that the process for raising monthly energy invoices to be made transparent.
“The GenCos (are) inflating invoices especially on capacity charges. I just heard about this for the first time last week although, over time we have been wondering that perhaps there is a magic somewhere or that some magicians were doing magic somewhere under the table.
“If there is any kind of fraud, then it is time to address it. We have invoices to show for it and if we haven’t confirmed it, we won’t be talking about it.
ANED urged the Federal Government to compel a transparent audit of market accounts noting that DisCos can’t continue to pay for GenCos’ investments when such costs cannot be passed to electricity customers.
While there is an impending investment of 700 Million from EU, it is still unclear how all stakeholders in the power sector intend to arrest the liquidity crisis. Invariably only time will tell.