The Nigerian Bulk Electricity Trading Plc (NBET) has told the Nigerian Senate that only ₦60 million was released out of the ₦858 billion appropriated in the 2025 capital budget to bridge the electricity tariff gap.
The disclosure was made on Thursday during NBET’s 2025 budget performance review and defence of its 2026 proposal before the Senate Committee on Finance, chaired by Sani Musa.
NBET’s Acting Managing Director, Johnson Akinnawo, said the ₦858 billion allocation was intended to cover the shortfall between the actual cost of generating electricity and the regulated tariffs paid by consumers. However, with only ₦60 million released so far, the intervention has had no meaningful impact on stabilising the power sector.
He explained that persistent underfunding and non-cost-reflective tariffs continue to weaken the electricity market, increasing NBET’s debt exposure to generation companies and worsening liquidity challenges across the value chain.
Lawmakers expressed concern over the significant gap between the amount approved and the funds released, warning that without adequate financing, efforts to stabilise Nigeria’s electricity market could face further setbacks.
The development underscores ongoing financial strain in the power sector and raises fresh questions about how the government intends to manage the widening tariff gap.
Abuja Network News
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