The Nigerian Bulk Electricity Trading Plc, NBET, has commenced payment to Generation Companies and their gas suppliers under President Bola Tinubu’s Debt Reduction Programme.

‎The payment follows the issuance of 728.9 billion naira Series 2 Bonds under the 4 trillion naira Power Sector Multi-Instrument Issuance Programme.

Managing Director of NBET, Akin Odeyemi, disclosed this in a statement on Thursday.

He said the settlement includes 402 billion naira in cash bonds and 326.9 billion naira in non-cash bonds.

‎Odeyemi said the payment is a major step in addressing historical debts, restoring liquidity in the electricity value chain and strengthening the finances of power companies.

‎He said the development will improve payment discipline, boost liquidity and support investment across the power sector.

‎He said it will also enable GenCos to sustain and improve generation assets and increase electricity supply.

‎He described it as part of President Tinubu’s Renewed Hope Agenda to resolve legacy obligations and build a financially sustainable electricity market.

He said NBET is now preparing for the second phase of the programme.