General
GenCos, NLC Trade Words Over N6.5trn Power Debt
By Adedapo Adesanya
The Nigeria Labour Congress (NLC) and the Association of Power Generation Companies (APGC), an umbrella body for power generation companies (GenCos), have traded words over the N6.5 trillion in power debt.
The labour union attacked the association over the payment of the N6 trillion as well as a proposed N3 trillion federal bailout, describing the move as a “heist” and an attempt to loot public funds.
The NLC accused the power firms of attempting to transfer the burden of their operational failures to Nigerians, insisting that electricity consumers and taxpayers must not be made to pay for what it called the “collapse of a flawed privatisation model.”
In a rebuttal, the APGC has warned the NLC to stop victimising the GenCos and refuted the allegation that the power sector has “institutionalised extortion.”
The chief executive of APGC, Mrs Joy Ogaji, said the group firmly rejects the NLC’s characterisation of the sector’s challenges, adding that labelling the legitimate operations of power firms as “robbery” and a “grand deception” is a simplistic and inflammatory narrative that ignores the complex realities of the industry.
“We view these allegations, which include claims of “institutionalised extortion” and a phantom subsidy, as a misrepresentation of the facts and a disservice to the ongoing efforts to stabilise Nigeria’s electricity supply industry,” said Mrs Ogaji.
The association also strongly refutes the insinuation that the proposed government support for the sector is a clandestine plan to “settle the boys” ahead of elections.
In a statement reacting to the recent press release by the APGC, the NLC rejected allegations that it lacked the competence to speak on power sector matters, maintaining that its members work within the industry and understand its dynamics.
“We categorically reject their self-serving narrative and misleading characterisation of our position. First, the NLC stands firmly by every word of its earlier statement. The privatisation of the power sector was, and remains, a grand deception that has shortchanged the Nigerian people. The APGC’s claims of “victimisation” cannot conceal the persistent failure that has defined the sector since privatisation.
“The core issue is simple and troubling. The entire power sector assets were reportedly sold for approximately N400 billion. Yet today, GENCOs are demanding N6 trillion, while the Federal Government is said to be considering a N3 trillion bailout for companies that have not demonstrably increased generation capacity beyond pre-privatisation levels.
“This contradiction raises fundamental questions. How can assets purchased for N400 billion become the basis for a bailout running into trillions of naira? It is neither sound economics nor responsible governance to socialise losses while privatising profits. Public funds belonging to workers, pensioners, and ordinary Nigerians must not be diverted to rescue private investors from the consequences of their own operational shortcomings. We challenge the APGC to address this contradiction transparently.”
“The NLC is not a bystander in the power sector. Our members work in generation plants across the country. Our affiliate, the National Union of Electricity Employees (NUEE), operates daily within the system. The NLC played a leading role in the national debate around privatisation and consistently warned that, without proper safeguards and capacity, the exercise would fail. Those warnings appear increasingly justified.
“Regarding our reference to “settling the boys,” our position remains clear: public funds must not be used to enrich a select few under the guise of policy intervention. Nigerians deserve transparency and accountability, not opaque financial arrangements.
“In the interest of openness, we call on the APGC to publish a comprehensive list of the beneficial owners of all GENCOs and associated power assets. Nigerians have a right to know who stands to benefit from this N6 trillion demand,” parts of the statement said.
It also criticised Nigeria’s power sector privatisation for failing to significantly improve electricity generation or service delivery despite rising tariffs, questioned the lack of measurable returns and dividends to the government, raised concerns over labour rights violations, and firmly rejected the proposed N6 trillion bailout as unjustified and contrary to public interest.
Business Post reports that the federal government disclosed plans in December to raise N1.23 trillion by the first quarter (Q1) of 2026 to settle verified arrears owed to generation companies and gas suppliers. On January 27, the government said it had successfully issued a N501 billion inaugural bond under the presidential power sector debt reduction programme (PPSDRP).
However, the APGC has said that this is inadequate, comparing the debt to “garri soaked in water.”
By Adedapo Adesanya
Nigeria’s electricity distribution companies (DisCos) generated N196.13 billion in revenue in March 2026, despite billing customers a total of N246.43 billion during the month, according to the latest commercial performance report released by the Nigerian Electricity Regulatory Commission (NERC).
The figure represents a slight decline from the N196.68 billion collected in February, highlighting persistent challenges in revenue recovery across the power distribution segment, even as energy supplied to the grid continued to improve.
NERC’s March 2026 fact sheet showed that electricity billing rose by 1.71 per cent from N242.29 billion recorded in February, reflecting increased energy deliveries and customer charges. However, collection efficiency declined to 79.59 per cent from 81.17 per cent in the previous month, indicating that a significant portion of billed revenue remained uncollected.
The regulator disclosed that DisCos received 293.76 million kilowatt-hours of electricity during the review period, representing a 6.02 per cent increase compared to February. The development suggests a modest improvement in power availability across the distribution network.
Despite the increase in energy supplied, revenue recovery remains uneven across the industry. NERC reported that the average approved tariff for March stood at N124.30 per kilowatt-hour, while actual collections averaged ₦100.75 per kilowatt-hour, resulting in an overall revenue recovery efficiency of 81.05 per cent.
Among the eleven DisCos, Ikeja Electric emerged as the strongest performer, posting a revenue recovery efficiency of 99.30 per cent. Eko Electricity Distribution Company followed with 95.73 per cent, while Benin DisCo recorded 85.18 per cent.
At the lower end of the performance table, Kaduna Electric recorded the weakest recovery rate at 35.65 per cent. Jos DisCo and Yola DisCo also struggled, achieving recovery efficiencies of 53.53 per cent and 58.58 per cent, respectively.
Ikeja Electric also led in collection efficiency with 96.38 per cent, ahead of Benin DisCo at 90.97 per cent and Eko DisCo at 87.68 per cent. Kaduna, Jos and Yola remained the poorest performers in this category, underlining the persistent commercial and operational challenges facing power distributors in parts of northern Nigeria.
In terms of billing efficiency, Eko DisCo ranked first with 92.30 per cent, followed by Port Harcourt DisCo at 90.36 per cent and Ikeja Electric at 87.76 per cent. Yola DisCo recorded the lowest billing efficiency at 58.68 per cent.
The latest figures underscore the mixed realities within Nigeria’s power sector. While electricity supply and customer billing continue to improve, revenue collection remains a major obstacle to the financial sustainability of the industry.
Analysts note that stronger metering penetration, improved customer confidence, reduction in energy theft and more efficient collection systems will be critical if DisCos are to close the widening gap between electricity supplied, billed revenue and actual collections.
The March performance report comes as regulators and industry stakeholders intensify efforts to strengthen the commercial viability of the electricity market, attract fresh investment and improve service delivery across the country.
By Adedapo Adesanya
Interswitch has entered into a partnership with Geneva-headquartered banking software provider Temenos to offer managed banking services to financial institutions across the continent, deepening its push into banking technology.
The partnership will see Interswitch adopt Temenos’ banking technology across core banking, digital banking, payments, wealth management, and financial crime management.
This will enable the firm to provide cloud-hosted and on-premises managed services to lenders on the continent. The service will initially target Nigeria, Ghana, Côte d’Ivoire, Kenya, and other African markets.
“This is a pivotal moment for Interswitch as we accelerate our expansion beyond payments and reimagine digital banking for Africa,” Mr Jonah Adams, managing director for Digital Infrastructure and Managed Services at Interswitch, said in a statement.
By combining Temenos’ software with its existing footprint across the continent, Interswitch is positioning itself as a technology partner that can help banks upgrade critical systems without having to manage the complexity of large-scale technology deployments.
“By adopting Temenos’ cloud-native, composable platform, Interswitch gains the flexibility and scalability to accelerate its next phase of growth and deliver banking services that meet the needs of African markets,” Mr Adams added.
For Temenos, the deal strengthens its presence in Africa through a partner with deep relationships across the banking sector. It lost one of its banking customers, Sterling Bank, in 2024 after the tier-2 Nigerian bank switched to SEABaaS, a new custom-built core banking application.
“Interswitch is an important new customer and partner for Temenos in Africa,” said Mr William Moroney, Chief Revenue Officer at Temenos. “Interswitch’s strong presence across the continent also extends our reach and further strengthens our ecosystem and partner network.”
Founded in 2002, Interswitch built its reputation as one of Africa’s largest payments companies through products such as Quickteller and Verve, its domestic card scheme.
By Adedapo Adesanya
Tropical General Investments (TGI) Group and Singapore-based Wilmar International have agreed to combine their Nigeria and Republic of Benin operations into a 50:50 joint venture aimed at building a dominant integrated food and agribusiness platform across West Africa, targeting a market estimated at $12 billion.
The proposed merger will consolidate operations across several value chains, including agriculture, oil palm plantations, edible oils, edible nuts, rice, food manufacturing, and distribution, creating one of the region’s largest end-to-end food production and supply chains.
Under the arrangement, both firms will integrate their complementary strengths, with Wilmar contributing global expertise in palm oil, speciality fats, and large-scale agribusiness operations, while TGI brings established local manufacturing capacity, consumer brands, and an extensive distribution network across Nigeria and neighbouring markets.
Chairman and Chief Executive Officer of Wilmar International, Mr Kuok Hong, said the partnership would enhance both firms’ ability to serve Africa’s expanding consumer base, describing Nigeria and Benin as strategic growth markets.
“For more than four decades, TGI Group has built a leading position in Nigerian food manufacturing and distribution. This partnership will leverage Wilmar’s global scale and expertise as well as TGI’s local knowledge to deliver innovative food solutions across Africa,” added TGI Group founder and chairman, Mr Cornelis Vink.
On his part, Vice Chairman of TGI Group, Mr Farouk Gumel, said the deal reflects confidence in Nigeria’s long-term economic prospects, adding that it would deepen domestic value addition, strengthen food security, support smallholder farmers, and create jobs.
Adding his input, Wilmar’s Africa Head, Mr Santosh Pillai, described the transaction as a strategic fit, noting that the combined entity would have the scale, local insight, and operational depth needed to better serve consumers in the region.
The companies said the transaction is expected to be completed in the 2026 financial year, subject to regulatory approvals and other customary conditions.
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