By Adedapo Adesanya

The federal government’s payment of electricity subsidies neared N200 billion, as it increased to N199.64 billion in December 2024.

This is according to data sourced from the Nigerian Electricity Regulatory Commission (NERC) in its newly released report, December 2024 Multi-Year Tariff Order,

The regulator computed that electricity subsidies rose by 2.76 per cent to N199.64 billion this month from N194.26 billion in November.

NERC explained that the rise in the exchange rate, which it pegged at N1,687.45 to the Dollar, the increase in inflation to 33.9 per cent, and changes in available generation capacity necessitated the minor review.

The report showed that the federal government retained electricity tariffs across all customer categories bar those who were migrated to the expensive Band A, which are expected to receive a minimum of 18 hours of electricity daily.

While Band-A customers now pay a revised N209/kWh, tariffs for customers in Bands B to E were allowed to remain frozen at the rate payable from December 2022.

With the policy, the federal government is expected to pay N29.10 billion (up from N27.86 in November) as subsidies for consumers under Abuja DisCo, while consumers under Ikeja Electric would enjoy electricity subsidies of N26.68 billion from the government.

On wholesale gas-to-power prices, NERC stated: “The review maintains the benchmark gas-to-power price of $2.42/MMBTU based on the established benchmark price of gas-to-power by the Nigerian Midstream and Downstream Petroleum Regulatory Authority, NMDPRA.”

The Commission maintained that the “approved tariffs shall remain in force subject to monthly adjustment of pass-through indices including inflation rate, NGN/Dollar exchange rate and gas-to-power prices.”

Business Post reported recently that the NMDPRA denied that it didn’t halt the distribution of gas to generating companies over a massive debt.

Meanwhile, the country has faced over 10 national grid failures this year alone throwing Nigerians into darkness with the most recent occuring earlier this month.

By Adedapo Adesanya

The Minister of Finance and Co-ordinating Minister of the Economy, Mr Wale Edun, has called for necessary steps to manage ballooning debt and its servicing on the continent.

This is as he expressed gratitude for the continuous support from the African Development Bank (AfDB) at the launch of the Debt Management Forum for Africa (DeMFA) and its inaugural policy dialogue on Monday in Abuja.

According to the African Economic Outlook Report (AEO) 2024, in 2024, African countries are expected to spend around $74  billion on debt service, up from $17 billion in 2010, of which $40 billion is owed to private creditors, representing 54 per cent of total debt service.

The Nigerian finance minister emphasised that the partnership had transformed into a mutually beneficial collaboration over the years, leading to critical grants, loans, and capacity-building initiatives targeted at improving the economic landscape of African nations.

Mr Edun highlighted the significance of the DeMFA, which aims to address public debt challenges on the continent specifically.

He commended the AfDB for establishing the initiative, noting that while the World Bank had provided support in debt management for decades, the launch of a forum dedicated solely to Africa was a welcome development for the 54 countries in the continent.

The minister identified two issues facing African nations: the escalating levels of debt and debt service, which had constrained fiscal space for governments and the limited access to affordable funding in both domestic and international markets.

He said there was an urgency to mobilise large capital pools to tackle social and economic challenges, including unemployment, infrastructure deficits, climate change and meeting the social development goals.

Mr Edun stressed that DeMFA must be structured to build on the foundations laid by previous initiatives, offering a comprehensive approach tailored specifically to the needs and realities of Africa.

The finance minister urged DeMFA to focus on ensuring the long-term sustainability of public debt across Africa.
“As a forum, it must actively contribute to the continuous and sustainable management of public debt, helping nations avoid recurring debt crises and fostering development.

“By working together, we can overcome these challenges and accelerate Africa’s growth trajectory,” he added.

Mr Edun commended the AfDB for its leadership in the initiative and expressed optimism about its potential to transform debt management practices across the continent.

“On behalf of all stakeholders, I wish the AfDB success in this endeavour and look forward to seeing its impact on Africa’s development,” he said.

By Adedapo Adesanya

The Economic and Financial Crimes Commission (EFCC) has re-arraigned a former managing director of the defunct Bank PHB Plc (now Keystone Bank Limited), Mr Francis Atuche, and two others before the Special Offences Court sitting in Ikeja, Lagos on a nine-count charge bordering on conspiracy to commit felony and forgery.

Mr Atuche is currently serving a six-year jail sentence over a N25 billion fraud alongside one Mr Ugo Anyanwu (four years) after their conviction in June 2021.

Now, Mr Atuche and the two others, Mr Nnosiri Joachim (also known as Ifeanyi) and Mr Uguru Onyike were arraigned before Justice Olubunmi Abike-Fadipe.

When the charge was read to the defendants, they all pleaded not guilty.

Prosecution counsel, Mr Fanen Anum, told the court that the matter is starting de novo and therefore asked for a trial date.

Meanwhile, the counsel to the first defendant, Mr Anthony Ejere, prayed that the court allow his client to enjoy the earlier bail granted him by the court, despite that he was still a convict in another matter.

Also, counsel to the second and third defendants, Clement Onwuenwunor (SAN), asked the court to allow his clients to enjoy the earlier bail granted them by the court.

In her short ruling, Justice Fadipe upheld the request of their counsels that they be allowed to continue on the bail granted them by Justice Adeniyi Onigbanjo (rtd) and adjourned the case till May 6, 2025, for trial.

For context, Mr Atuche and the two other suspects were originally arraigned before Justice Habeeb Abiru before his elevation as a Justice of the Court of Appeal and subsequently as a Justice of the Supreme Court.

The case consequently started afresh before Justice Adeniyi Onigbanjo (who has now retired) hence the transfer of the case file to Justice Abike-Fadipe.

It was alleged that Mr Atuche contacted Joachim Nnosiri, an office assistant with Keystone Bank’s Central Sharing Services Centre in Lagos, to deliver some allegedly forged documents to the bank’s corporate headquarters also in Lagos for onward presentation in court as exhibits in an ongoing case between Mr Atuche and the EFCC.

The alleged forged documents are said to be board resolutions of Future View Securities Limited; Extra Oil Limited and Trajek Nigeria Limited.

The documents had been missing from the bank since October 2009.