NBET begins N729bn debt settlement for Nigerian power sector

The Nigerian Bulk Electricity Trading Plc (NBET) has commenced the settlement of debts owed to participating Generation Companies (GenCos) and gas suppliers. This follows the issuance and signing of the ₦728.979 billion Series 2 Bonds as part of a ₦4 trillion Power Sector Multi-Instrument Issuance Programme.

According to NBET Managing Director Akin Odeyemi, the settlement utilizes a combination of ₦402 billion in cash bonds and ₦326.979 billion in non-cash bonds. The initiative is part of the Presidential Power Sector Debt Reduction Programme aimed at restoring liquidity across the electricity value chain and addressing historical obligations.

Separately, the Rural Electrification Agency (REA) has secured a ₦100bn financing facility from Stanbic IBTC Bank. This revolving loan facility is intended to support renewable energy developers, particularly those involved in the World Bank-funded Distributed Access through Renewable Energy Scale-up Project, by providing capital for equipment procurement and project implementation.