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Transmission Company of Nigeria says N457 billion owed for services rendered in the electricity sector
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Company laments financial pressure despite improved wheeling capacity of 8,701 megawatts
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Unutilised substations, vandalism, and right-of-way issues continue to hinder power delivery
The Transmission Company of Nigeria (TCN) has raised alarm over a staggering N457 billion debt owed by various operators within the Nigerian Electricity Supply Industry (NESI) as of March 2025. The company said the huge unpaid sum is threatening its operations, despite visible improvements in its transmission capacity and infrastructure.
The Managing Director of TCN, Mr Sule Abdulaziz, made the disclosure during a capacity-building workshop for journalists held in Keffi, Nasarawa State. Represented by the Executive Director, Transmission Service Provider, Mr Oluwagbenga Ajiboye, Abdulaziz said the debt includes N217 billion in legacy debt and another N240 billion from more recent services provided to the power sector.
Abdulaziz noted that the financial challenges are undermining progress, even though TCN has increased its wheeling capacity to 8,701 megawatts. He warned that without urgent intervention, the liquidity crisis would worsen, with negative implications for electricity delivery to end-users.
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The TCN boss pointed out that the electricity value chain must remain unbroken for the system to function efficiently. He stressed that weaknesses in any part of the chain, especially the distribution segment, could undermine national energy stability.
Also speaking at the workshop, TCN’s General Manager for Project Coordination, Mr Aminu Tahir, highlighted the issue of completed but unutilised substations. He said several new installations have remained idle due to the inability to link them with transmission lines. Tahir attributed the delay to persistent right-of-way issues affecting key project execution.
READ ALSO: TCN restores bulk power supply to Gombe-Damaturu-Maiduguri line
Tahir also revealed that TCN has secured support from international partners including the World Bank, French Development Agency (AFD), African Development Bank, and the Japan International Cooperation Agency (JICA) to fund critical infrastructure projects.
On her part, the General Manager, Public Affairs, Mrs Ndidi Mbah, said the workshop was aimed at improving the relationship between TCN and the media. She explained that journalists covering the energy sector need better access to information and direct engagement with experts to enhance public understanding of the company’s role and challenges.
The current liquidity crisis in the power sector is not limited to TCN. The Federal Government is reportedly indebted to generation companies (GenCos) to the tune of over N4 trillion for electricity already generated and fed into the national grid.
In addition, the Niger Delta Power Holding Company (NDPHC) has raised concerns over a separate N600 billion debt owed by the Nigerian Bulk Electricity Trading (NBET) Plc, which it says is crippling its operations.
