DISCOs market receipts for June stood at N26.8bn – NBET

DISCOs market receipts for June stood at N26.8bn - NBET

The eleven electricity Distribution Companies (DisCos) market receipts for the month of June, 2021 stood at N26.811 billion.

This was disclosed by the Head of Corporate Communications, Nigerian Bulk Electricity Trading (NBET), Ms Henrietta Ighomrore, in a statement in Abuja, on Thursday.

The Market Receipt (MR) payment is received for grid distributed electricity in the Nigerian power sector.

NBET is the administrator of the national power pool and the financial flow in the Nigerian Electricity Supply Industry (NESI).

NBET named the EKO Electricity Distribution Company as the highest remitter in the June 2021 Electricity Market Payment.

Ighomrore said information showed that no DisCo met the 100 per cent mark, however EKO DisCos came close with a 93.4 per cent remittance of its market receipts.

Breakdown

According to her, the June 2021 market receipts from the DisCos totalled N26.811 billion, with the top three remitters being EKO, Abuja and Port Harcourt DisCos with 93.4 per cent, 86.6 per cent and 76.4 per cent. respectively.

She said that the June 2021 market payment had been disbursed to the Generating Companies (GenCos) in proportion to their invoice.

NBET remains committed to ensuring timely and efficient payments to GenCos to enable the generators fulfil their obligations and maintain sustainable supply of electricity to the grid, she added.

Ighomrore also stated that NBET was engaging with all stakeholders in the value chain, to ensure payment improvement and viability of the Nigerian electricity market.

According to her, NBET had consistently demonstrated efficiency and transparency in the administration of the financial flow.

She stated that the company’s goal was to ensure efficient transactions in the Nigerian power sector and support its growth and viability.

“The NBET implements the Minimum Remittance Order issued by the Nigerian Electricity Regulatory Commission (NERC) to all DisCos; which sets the minimum percentage payment each DISCO is to remit to NBET on a month-to- month basis.

“NBET has continued to deploy strategies and initiatives to enhance market liquidity in the sector, through improving payments to the generation companies, supported by its power sector reform programme and the market discipline committee,” she said.

She recalled that in 2016 when generation capacity was greatly threatened due to shortage of gas and inability of some GenCos to meet their immediate obligations, NBET had swung into action with the conceptualisation and implementation of its N701.9 billion Payment Assurance Facility (PAF).

“This was efficiently managed and disbursed from January 2017 till December 2018, resulting in a quantum leap of 6500 Mega Watts (MW) generation capacity to a 7659MW at the end of the PAF.

” The success of the N701.9 billion PAF led to sustainable generation capacity and increased available electricity, this success led to the birth of PAF 11.

“The implementation of PAF 11, a N600 billion facility for 2019/2020 later metamorphosed into the Power Sector Reform Programme”, she said.

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