Ibom Power Company Limited (IPC) says unpaid debts owed by the Federal Government and a prolonged gas supply shortage crippled operations at its 191-megawatt power plant, leaving the facility almost idle for nearly a year.
The state-owned power company disclosed that it received natural gas for only about 30 days over the past 12 months, forcing repeated shutdowns and significantly reducing electricity generation.
Speaking during a media briefing in Uyo, the Managing Director of Ibom Power, Engr. Camillus Umoh, said the company could no longer sustain operations because of outstanding payments owed to electricity generation companies.
According to him, the Federal Government still owes the company about ₦15.7 billion out of a total ₦28 billion in legacy debt accumulated since 2015.
“For the past 360 days, our aggregated gas availability has been less than 30 days. Even during those few days, supply was not at optimal levels, forcing us to operate below capacity or shut down completely,” Umoh said.
He explained that the company’s gas supplier, Accugas, has stopped supplying gas on credit and now operates a “pay-before-supply” policy due to years of unpaid invoices.
“Our gas supply ended in June. The supplier informed us that unless payments are made upfront, they will no longer supply gas. They do not want to accumulate another decade of unpaid debts,” he added.
The 191MW Ibom Power Plant, commissioned in 2010, relies on gas supplied from Accugas’ Uquo gas field in Akwa Ibom State through a 62-kilometre pipeline.
Umoh said the company’s challenges reflect the broader financial crisis affecting Nigeria’s electricity sector, where power generation companies are collectively owed trillions of naira for electricity supplied to the national grid.
He disclosed that electricity generation companies (GenCos) are expected to meet with the Federal Government to discuss the settlement of outstanding debts accumulated between 2015 and 2025.
According to him, although the government has acknowledged about ₦4 trillion in outstanding obligations across the power sector, only about 48 per cent has so far been provided for under the current repayment plan.
“For Ibom Power, the total debt is about ₦28 billion. We have received roughly ₦12.3 billion, leaving an outstanding balance of ₦15.7 billion,” Umoh stated.
