Power

NDPHC to Recover Over N180BN Debt

The Niger Delta Power Holding Company of Nigeria (NDPHC) is set to go after chronic debtors even as constraints within the transmission and distribution system have left a major percentage of the company’s installed capacity still stranded.

According industry information debts being owed the company are now close to over N180 billion.

The NDPHC is the implementing entity for the Nigeria Independent Power Plants (NIPP), which commenced the design of 10 NIPP power plants in 2006 with eight already completed while two are yet to be commissioned.

The power plants have a design capacity of 5000 megawatts but with current installed capacity of 3,585 MW as at the end of 2023.

The new Managing Director and Chief Executive of the Company, Jennifer Adighije, while on visit to the Nigerian Electricity Regulatory Commission (NERC), in what she described as a bid to foster a harmonious working relationship with the body, said the firm is highly indebted.

Speaking at the event, along with the management team, Adighije, highlighted the plan of the Company to ensure that debts owed the organisation were recovered.

She said that the NDPHC has a team of forward-thinkers that was set to deploy all its energies to ensure that the NDPHC under the leadership of Vice President Kashim Shettima delivers on its mandate.

“And so we look forward to having and fostering a harmonious working relationship with the NERC. This is the first official working visit that we’ll be embarking on as a new management.

“And therefore, that demonstrates the priority and importance that we place on this relationship with the NERC, particularly for the role that you play in growing and fostering the Nigerian Electricity Supply Industry (NESI).

“As a new management, this is to familiarise and to have a handshake with the NERC. We’re a young team, very dynamic, forward thinkers, ready to deploy all our energy and expertise to push new frontiers in line with the guidelines and the directives of the NERC,” she stated.

With the deep knowledge of the industry, she stated that the NERC leaderships were in a good position to be able to work with the company to ensure that the Nigerian people are better served.

“You have a deep understanding, not only do you understand; you have a deep understanding of the peculiarity and the prevalence of issues within the NDPHC and in the industry at large.

“You do know that we have the largest generational capacity in the industry, but we’re made to bear some of the greatest burden in the industry, which has given our shareholders costs to worry.

“On Thursday last week, we held our inaugural board meeting, which was chaired by our chairman, His Excellency, the Vice President, Senator Kashim Shetima. Our rising debt exposures, amongst other issues, were very key subjects of discussion.

“This compelled the chairman to give us a directive to begin to pursue debt recovery, amongst other issues, very aggressively, and report back on the progress made within two weeks. We do know that the success of our exercise, and generally the existence of the company, is subject to how we can cooperate and partner with the NERC.

“Therefore we appeal to you to use your kind office to expedite your internal processes to ensure that we deliver positive results back to the chairman of the board,” Adighije added.

She also requested that a technical working committee could be set up  to start to look at the issues that would come up with expedite the company’s reconciliations as soon as possible.

On his part, NERC Chairman, Sanusi Garba, noted that although the NERC will not bend the rules for any of the organisations it regulates, it will support whatever will ensure that government’s investment in the NDPHC is well deployed.

“I want to assure you that the commission will always provide every possible support, without bending the rules to make sure that the significant investment made by the three tiers of government in the NDPHC is actually brought to bear for the benefits of Nigerians.

“We do understand that the challenges are quite significant. There is probably need for more focus on strategic direction for the organisation so that the little you have, it will not spread too thin to a point where you do not deliver on anything,” Garba added.

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