By Obas Esiedesa, Abuja

The Federal Government’s inability to meet its financial obligations to power generation companies has deepened the crisis in the already struggling electricity sector, with fresh data showing it paid only N76.95 billion (about four percent) of the N1.928 trillion subsidy required in 2025.

Although the government budgeted N958 billion for electricity subsidies in 2025, only N76.95 billion was released, leaving an outstanding liability of about N1.85 trillion.

A quarterly analysis of data from the Nigerian Electricity Regulatory Commission (NERC) shows that subsidy obligations stood at N536.40 billion in the first quarter of 2025, declined slightly to N514.36 billion in the second quarter, dropped further to N458.76 billion in the third quarter, and settled at N418.79 billion in the fourth quarter.

NERC also disclosed that the electricity subsidy for January 2026 alone stood at N126.48 billion, underscoring the persistent funding gap.

Industry analysts say the government’s failure to meet its obligations has worsened the sector’s fragile financial state, leaving generation companies (GenCos) unable to pay gas suppliers for fuel used in power plants.

As a result, gas companies have reduced supply volumes to the sector, leading to a significant decline in electricity generation and supply nationwide.

Experts also attributed the crisis to inadequate funding of the Nigerian Bulk Electricity Trading Plc (NBET), the market’s central offtaker.

Former Managing Director of the Niger Delta Power Holding Company (NDPHC), Mr. Chiedu Ugbo, criticised ongoing public disagreements over the actual debt figures, describing them as unhelpful.

“At a time when Nigerians are grappling with intense heat, reduced productivity, and the real economic and social consequences of inadequate electricity supply, it is difficult to justify public disputes over figures instead of focusing on practical solutions,” he said.

“This is a time for leadership and collaboration, not blame-shifting. We must confront our realities with honesty and a shared sense of responsibility.

“NBET cannot deny that there is significant outstanding indebtedness to GenCos and, by extension, to gas suppliers and other creditors.

“However, GenCos must also recognise that this situation is not entirely of NBET’s making. NBET essentially plays a clearing house role within the market. The debt is a sector-wide issue arising from long-standing collection inefficiencies, tariff shortfalls, and structural gaps.”

Ugbo warned that public disputes between NBET and GenCos would only worsen the situation.

“There is no scenario in which GenCos will be paid on unreconciled amounts, just as there is no viable electricity market where GenCos, NBET, gas suppliers, and regulators operate as adversaries rather than partners,” he added.

Also speaking, former Managing Director of NBET, Mr. Rumundaka Wonodi, emphasised the importance of timely payments to GenCos.

“NBET was established as a creditworthy central offtaker and load aggregator. Its partnership with GenCos is built on full and timely settlement of invoices, and that is what will best serve the sector.

“A similar partnership between NBET and DisCos will also benefit both the sector and consumers.

“I do not agree with the notion that GenCos should be understanding because the situation is not NBET’s fault. NBET is effectively a proxy for the government.

“To the extent that the government has failed to make critical investments in transmission and gas infrastructure, enable sustainable tariffs, and ensure effective regulation, it must step up and adequately fund NBET to meet its obligations,” he said.

The post ELECTRICITY: Liquidity crisis worsens as FG pays 4% of N1.9trn subsidies appeared first on Vanguard News.

•Signals revolution in Nigeria’s trade value chain

By Emeka Anaeto, Business Editor

A major shift in Nigeria’s trade modernization journey may have started as global logistics giant DHL, alongside the Standard Organisation of Nigeria (SON) the Nigeria Agricultural Quarantine Service (NAQS) and National Environmental Standards and Regulations Enforcement Agency NESREA), successfully commenced the electronic submission and transmission of cargo manifests on the National Single Window (NSW) platform.

The milestone marks a bold step forward in Nigeria’s ambition to digitize its trade ecosystem, following the official go-live of the platform last weekend.

At a coordinated live demonstrations held at DHL’s Lagos Airport facility and the NSW operations hub in Apapa, stakeholders across government and the private sector witnessed the system in action, processing cargo documentation in real time, transmitting data seamlessly across border systems, and generating rotation numbers with precision.

Despite minor initial technical hitches at DHL and temporary network latency in Apapa, the system recorded a successful launch, reinforcing confidence in its resilience and readiness in the NSW Go-live.

The Director of the NSW project, Tola Fakolade, declared that the initiative has now moved decisively from development into full-scale operations.

“This is no longer a concept, it is live, active, and delivering results,” Fakolade stated, noting that the demonstration underscored the platform’s core capabilities: “electronic submission, transmission to border systems, and the generation of rotation numbers.”

He described the DHL activation as a critical proof point in demonstrating how logistics operators and regulatory agencies can leverage the platform to simplify cargo clearance, eliminate delays, and deepen transparency across Nigeria’s trade value chain.

Fakolade further emphasized the strength of collaboration driving the project, explaining: “In the beginning, we could have some issues here and there, but what is important is that the technical teams are there to resolve them. We saw clear evidence of collaboration among stakeholders, and that collaboration is what has brought us to this point.”

He urged stakeholders nationwide to remain patient and committed as the system scales, noting that such teething challenges are typical of major digital transformations globally.

The Deputy Comptroller-General of the Nigeria Customs Service in charge of ICT and Modernisation, Oluyomi Adebakin, reinforced this position, describing the Go-live as a landmark success of the President Bola Ahmed Tinubu administration that seeks to empower the trade community in a way yet to be experienced.

She assured stakeholders that integrated technical teams, including the Customs Single Window unit, NSW engineers, and Trade Modernisation Project personnel, are working round the clock to ensure seamless functionality.

Adebakin highlighted the broader economic implications, noting that the NSW, alongside the B’Odogwu system, will significantly improve efficiency for traders and unlock measurable gains for the Nigerian economy.

Also lending institutional backing, the Managing Director of the Nigerian Ports Authority, Abubakar Dantsoho, described the initiative as a transformational leap for port operations.

Represented by General Manager Oladapo Fatai, Dantsoho noted that the NSW will drastically reduce bureaucratic bottlenecks and eliminate the need for port users to shuttle between multiple offices for documentation.

At the aviation end, the Director of Cargo Development and Services at the Federal Airports Authority of Nigeria, Lekan Thomas, projected significant gains in cargo efficiency, security, and data-driven planning.

He emphasized that the platform will tackle longstanding inefficiencies in cargo handling while reducing dwell time; a critical factor in improving Nigeria’s logistics competitiveness.

On the private sector front, the Managing Director of DHL, Muyiwa Adejeyoju, expressed pride in the company’s early adoption of the platform.

He noted that the initiative aligns with DHL’s global mission of connecting people and improving lives, while reaffirming the company’s commitment to regulatory compliance and trade facilitation.

With its successful first transactions now completed, the National Single Window signals the dawn of a new era, one defined by speed, transparency, coordination, and global competitiveness.

The post DHL, SON, NAQS, NESREA launch cargo manifest, licenses & permits transmission on NSW appeared first on Vanguard News.

By Progress Godfrey

ABUJA-The Federal Government has moved Nigeria’s next-generation satellite programme into the execution phase, with NIGCOMSAT-2A and 2B scheduled for launch in 2028 and 2029 to boost connectivity, security and digital economy growth.

Managing Director of NIGCOMSAT Limited, Mrs Jane Nkechi Egerton-Idehen, disclosed this at the opening of the 2026 Satellite Week in Abuja. She said the programme underscores Nigeria’s commitment to leveraging space technology for national development, sovereignty and security, noting that the sector is entering a phase of accelerated growth.

Egerton-Idehen explained that the satellites will enhance real-time communication, intelligence gathering and connectivity in remote areas, supporting applications such as precision agriculture and rural broadband expansion. She added that procurement processes had been concluded and the project had moved into financing and implementation.

“When operational, the satellites will strengthen security within Nigeria and neighbouring countries, while supporting agencies with critical data and intelligence,” she said.

The event, themed “Harnessing Space for an Extraordinary Nigeria,” brought together government officials, industry experts, researchers and technology innovators to explore opportunities in space and digital infrastructure.

Also speaking, Minister of Communications, Innovation and Digital Economy, Dr Bosun Tijani, said the initiative reflects a shift from approvals to delivery, backed by investments in fibre networks, towers and space infrastructure. 

He described satellites as central to bridging connectivity gaps and strengthening national resilience.

Tijani noted that Nigeria remains the only West African country with its own communication satellite, positioning it as a regional hub for digital services, particularly in underserved areas. He stressed that satellite technology plays a critical role in expanding internet access, supporting agriculture and driving economic growth.

He added that beyond infrastructure, the government is focused on building an ecosystem that promotes innovation, research and practical applications across sectors.

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