- TCN revealed that ₦457 billion in unpaid debts hinders its operations, even as it increased its wheeling capacity to 8,701 MW.
- It urges balanced investment across the power value chain and highlights its unbundling into two entities, backed by international funding.
The Transmission Company of Nigeria (TCN) has revealed that a debt of ₦457 billion owed by stakeholders in the electricity sector as of March 2025 is significantly hampering its operations.
The Managing Director of TCN, Sule Ahmed Abdulaziz, represented by the Executive Director of the Transmission System Provider (TSP), Oluwagbenga Ajiboye, made this disclosure at a workshop for power correspondents in Keffi, Nasarawa State. Themed “Understanding the Critical Role of TCN in Nigeria’s Electricity Supply Industry (NESI),” the event aimed to deepen stakeholder understanding of TCN’s operations.
Abdulaziz explained that the debt includes ₦217 billion in legacy liabilities and ₦240 billion owed for recent services. Despite this financial strain, TCN has increased its wheeling capacity to 8,701 megawatts, a testament to ongoing investments in transmission infrastructure.
However, he pointed out persistent challenges undermining the company’s performance, such as vandalism and funding shortfalls.
He stressed the urgent need for more substantial investment in the distribution segment of the electricity value chain, stating that the entire power network is only as efficient as its weakest link.
“No matter how efficient TCN is, if the GENCO is underperforming, we can only transmit what it generates. Similarly, if TCN is the weak link, the output ends there. And if it’s the DISCOs, the result is the same,” he explained.
Abdulaziz emphasised that Nigeria’s national grid is not limited to transmission infrastructure. It also includes generation, distribution, and end-users, the consumers.
“The grid comprises generation, transmission, distribution, and the consumer. Until May 9, TCN managed the grid through two divisions: the Transmission Service Provider and the Independent System Operator. Now, the Independent System Operator has officially become the Nigerian Independent System Operator (NISO), following TCN’s unbundling,” he noted.
In a separate presentation, the General Manager of Project Coordination, Aminu Tahir, highlighted that TCN had completed several idle transmission substations due to unresolved line connections. He cited right-of-way issues as major obstacles preventing the activation of these new facilities.
Tahir added that the company has secured funding from several international partners, including the World Bank, French Development Agency (AFD), African Development Bank (AfDB), and Japan International Cooperation Agency (JICA), to support its efforts to expand transmission infrastructure across the country.
Earlier, General Manager, Public Affairs, Ndidi Mbah, underscored TCN’s role as Nigeria’s sole bulk electricity transporter. She noted that the workshop aims to educate stakeholders on the company’s responsibilities and strategic role in stabilising the Nigerian Electricity Supply Industry (NESI).
“The goal is to highlight TCN’s importance in ensuring a reliable and stable electricity supply across the country,” Mbah said.
With a growing demand for electricity and a struggling value chain, stakeholders agree that strengthening every sector part, from generation to distribution, is crucial to delivering stable power to Nigerian homes and businesses.