Niger, Togo, Benin owe Nigeria $5.7 million electricity debt

Published 2:20 PM ET, Wednesday December 25, 2024

International clients in Niger, Togo, and the Benin Republic owe Nigeria $5.7 million in electricity supply fees.

The Nigerian Electricity Regulatory Commission (NERC) recently revealed this in its latest report for the third quarter of 2024.

Benin Republic’s Paras-SBEE and Transcorp-SBEE, Mainstream-NIGELEC from Niger and Odukpani-CEET from Togo were listed as the indebted international customers.

Nigeria is a member of the West African Power Pool (WAPP), an agency of the Economic Community of West African States (ECOWAS) that coordinates power exchange among member states.

Nigeria exports energy to some of its West African neighbors, including Niger, Benin Republic, and Togo, as a result of its participation in this pact. In 2023, the country exported $153 million in energy, ranking as the world’s 53rd greatest exporter at the time.

According to the NERC study, market operators (MO) sent an invoice to six entities for $12.19 million, but only $6.49 million was paid.

“In 2024/Q3, the six (6) international bilateral customers purchasing power from the grid-connected GenCos made a cumulative payment of $6.49 million against the $12.19 million invoice issued to them by the MO for services rendered in 2024/Q3,” the NERC noted.

“Similarly, the domestic bilateral customers made a cumulative payment of ₦1,566.51 million against the ₦2,100.79 million invoice issued to them by the MO for services rendered in 2024/Q34.”

The commission also added that some bilateral customers, including domestic and international customers, made payments in the third quarter of 2024 for outstanding MO invoices from previous quarters.

Other bilateral customers in Nigeria, including Trans-Amadi and the North-South/Star Pipe, also made payments to offer their debts from previous quarters.

He added, “Similarly, the MO received ₦31.51 million from the domestic bilateral customers (North-South/Star Pipe; ₦9.50 million and Trans-Amadi (OAU/FMPI); ₦22.01 million) towards outstanding invoices from previous quarters.”