Electricity Agency saves 66 billion naira for the government

Golfa Francis, Abuja

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The Nigerian Electricity Liability Management says it has saved about 66 billion naira for the Federal Government, through the help of a model developed known as the ‘Triangular Verification Model.

It’s Managing Director/Chief Executive, Adebayo Nathaniel Fagbemi told the 2019 meeting of the Power Sector Communication Team that the Agency absorbed and is effectively managing the liabilities in the sector.

He listed sources of funding the liabilities to include sale of non-core assets, rent of Power Holding Company of Nigeria, PHCN, properties, proceeds from receivables, inflow from Ministries, Departments and Agencies debt recoveries and sale of PHCN assets.

While appreciating the Power Sector Communication Team (PSCT) for the work they are doing, the MD encourage them to do more, because communication is key, stressing that communication is an essential key to what the government is doing in the sector.

The Nigerian Electricity Liability Management was established in 2006 as a company limited by guarantee, to assume and manage the assets and liabilities of the defunct Power Holding Company of Nigeria (PHCN).

This according to the MD is to ensure that the successor companies are not encumbered by these liabilities at take–off.

Some of the liabilities he stated are, legacy debts, engineering, Power Producers and Power Purchase Agreement liabilities, tax liabilities and contingent liabilities.