The Niger Delta Power Holding Company (NDPHC) is struggling to maintain smooth operations in the power sector as it grapples with a staggering N600 billion debt. This financial burden is severely affecting the company’s capacity to generate and deliver electricity efficiently.
The Niger Delta Power Holding Company (NDPHC) has expressed concern over a N600 billion debt owed by the Nigerian Bulk Electricity Trading (NBET) Plc, which is severely affecting its operations. Managing Director Jennifer Adighije, via a statement from her media adviser, also cited additional challenges such as gas supply shortages, transmission limitations, and issues with bilateral partners.Despite ongoing challenges, NDPHC’s new management has restored five inactive turbine units at the Calabar, Omotosho, Sapele, and Ihovbor power plants, contributing an additional 625MW to the national grid.
However, around 2,000MW of the company’s available generation capacity remains underutilized due to transmission bottlenecks and gas-related issues.NDPHC Managing Director Jennifer Adighije highlighted several additional challenges affecting the company, including low electricity offtake by DisCos, unmonetized ancillary services provided to support grid stability, and dispatch restrictions due to limited grid capacity and weak market demand. She noted that power generation is demand-driven, and without sufficient demand or adequate grid capacity, the plants cannot operate effectively. Despite these issues, NDPHC continues to lead efforts to expand the transmission grid and improve distribution networks to reach underserved communities.
Despite challenges, NDPHC continues expanding the grid and improving distribution to underserved areas. It has invested over N500bn in transmission infrastructure since NIPP began. A gas metering dispute shut down Alaoji Power Plant, but efforts are ongoing to restore it by year-end.NDPHC’s 2,000MW capacity remains largely stranded due to grid issues and lack of a Power Purchase Agreement (PPA) with NBET. The company is often placed low in dispatch priority, despite having the largest turbine fleet.To address this, NDPHC is finalizing direct deals with eligible customers, leveraging a NERC order to sell stranded power outside the central market.
