Reps C’tee Seeks Details Of Over N4Bn Accrued Income Utilisation By NBET In 2025

By Alkassim Bala Tsakuwa, Abuja

The House of Representatives Committee on Finance has demanded details of utilisation of N4.099 billion by Nigerian Bulk Electricity Trading (NBET) Plc, accrued from regulatory incomes in 2025 fiscal year.

Chairman of the Committee, Hon. James Faleke gave the directive during the appearance of NBET’s Managing Director/Chief Executive Officer (MD/CEO), Mr. Johnson Akinowo at the 2026 Budget defence held on Thursday.

Hon. Faleke while scrutinising the agency’s 2025 budget performance, expressed concern over the series of expenditures incurred by the Company which include; N377.031 million spent on welfare packages out of N377.658 million approved budget; Other expenses worth N76.939 million out of N78.838 million approved budget; among others.

Members of the Committee also demanded explanation on the directive issued by the Chief of Staff to the President, banning overseas travels saying that, N470.122 million was spent on international travels and transport and training out of the N479.845 million approved in the budget.

Documents submitted to the Committee have further shown that, NBET also spent the sums of N111.804 million on management/staff/board retreat; N71.379 million on board sitting/Directors allowance; NN36.313 million on professional fees; N48.779 million on conferences, seminar and exhibition; N31.858 million on refreshment and meals.

Other expenses include; N9.713 million on cleaning and fumigation expenses; N60.231 million on maintenance of office/IT equipment; N68.552 billion on office stationeries/computer consumables; N65.530 million on Local travel and transport -others and additional sum of N79.103 million on Local travel and transport: training, as well as N1.780 billion spent on personne cost, among others.

The lawmakers also raised concern over the non-declaration of revenue generated in December 2025 in the document submitted to the Committee.

Responding on the ban on international travel, the NBET MD/CEO acknowledged that, the agency is aware saying that, ” as a corporate responsible organization, we are guided by all the stipulations of that directive.

“So, every and all travels that you see that was funded there had either an SGF or Head of Service approval. For instance, at an MD/CEO, if I am going to travel, I require that SGF approval…

“I’ll give you an example. For the World Bank Spring Meeting, in relation to the Partial Risk Guarantee of the Federal Government of Nigeria that NBET manages, they meagre the insurance and of the World Bank during the Spring Meetings, require our presence to provide clarification and to engage on their portfolio in Nigeria”.

He further informed the Committee that, he was part of Federal Ministry of Finance delegation adding that other MDAs under the Ministry including Debt Management Office, Bank of Industry (BOI), Central Bank of Nigeria (CBN), among others were part of the “critical parties that can speak to the items in details when they come and defend Nigeria’s position.”

Mr. Akinowo explained that out of total sum of N855 billion approved by the National Assembly for power reform programme, Federal Government released the sum of N60 million.

He however noted that because of the time the money was released, the Agency could not complete the procurement process, hence the N60 million remain unutilized till date.

He added, “For the revenues of 2025, regulatory income for participants in the electricity market are provided for them to run their operations. And I listed the agencies, that was why I tried to give that introductory background when I was speaking to the revenues. They are provided, it is the design of the electricity market that provides the revenue distribution. Distribution companies get two invoices.

“One is for energy and capacity which they pay to NBET and NBET pays to the GENCOs. The other one is for market administrative charge, which is supposed to cover the operations of the agencies of government that provide the service in the electricity market”.

According to him, the regulatory agencies include: the regulator, Nigerian Electricity Regulatory Commission (NERC), Transmission Company of Nigeria (TCN), and GENCO of Nigeria to cover wheeling charges for wheeling the electricity as well as Nigerian Independent System Operator, which is comprised of the system operator and the micro operator to cover their operations.

He further informed that the regulatory revenue to cover their operations now makes them to be excluded from appropriation for the current.The NBET MD added, “So we typically get capital from appropriation while we are supposed to run the operations from the recurrent from the regulatory revenue as approved by NERC, the regulator from time to time.

He explained that, the actual in line with extant rules, NBET funds the capital component of the annual budget from Appropriation Act.

On non-declaration of revenue accrued in December 2025, he said, “If you issue an invoice in December and it is not due for payment, if the contract says your invoice is due 25 days after, and that in five days is in January or in February, then that is what it is, because the legislation takes care of it and is captured for transparency.”

In his ruling, Chairman of the Committee, Hon. James Faleke said that the Committee has resolved to request documentary evidences of all the expenditures incurred throughout 2025, as well as approvals and waivers obtained from relevant authorities including the Presidency.

The Committee also resolved to suspend the consideration of the 2026 budget proposal, and adjourned to Tuesday, 10th February, 2026 during which Accountant General of the Federation is expected to appear.