The Association of Power Generation Companies (APGC) says it’s ready for forensic examination of its books by the Nigeria Labour Congress to clear its image of fraudulent allegations being peddled around by labour and other institutions in the country.
Joy Ogaji, the Chief Executive Officer of the group, dared the organised labour in a statement on Wednesday, wherein she rejected allegations by the Nigeria Labour Congress (NLC) that power generation companies are engaged in “institutionalised extortion” and benefiting from a phantom subsidy.
The statement quoted that recent commentary suggesting that GenCos were fraudulent and should be subjected to investigation for demanding payment of outstanding invoices was unfounded.
It maintained that electricity generated by its members had been consumed but not fully paid for, leading to the ballooning debt profile.
“Should the NLC or any other institution find it necessary, let it be known that GenCo books are ready for any forensic examination,” the statement added.
The association said the remarks credited to NLC President, Joe Ajaero, misrepresented the realities of Nigeria’s electricity supply industry and dwarfed ongoing efforts to stabilise the sector.
Acknowledging the frustrations of Nigerians over unstable power supply, the group said it could not accept a simplistic narrative that paints the legitimate operations of generation companies (GenCos) as “robbery” or a “grand deception.”
Such characterisations, it reasoned, ignore the complex structural and financial challenges facing the power sector more than a decade after its privatisation.
“We view these allegations as a disservice to the ongoing efforts to stabilise Nigeria’s electricity supply industry,” the statement said.
“To label the legitimate operations of power firms as robbery and a grand deception is not only inflammatory but also a misrepresentation of facts.”
The association also dismissed insinuations that proposed government support for the power sector was a covert plan to “settle the boys” ahead of elections. It described the claim as baseless and offensive to professionals working in the industry.
It argued that liquidity interventions being considered by government are critical to sustaining operations in the electricity value chain and ensuring continued power generation.
“It is necessary to ask: Who are the boys being referred to? Is power generation meant for boys? Which election is being talked about? What is the nexus between power generation and elections?” the statement said
The association expressed disgust that, in its view, the labour union had ventured into an area requiring technical and financial expertise without fully appreciating the sector’s complexities
It disclosed that GenCos are currently owed over N6 trillion in unpaid invoices for electricity generated and supplied to the national grid.
GenCos, it said, are entitled to about 60 per cent of market receivables based on invoiced energy bills but continue to bear the greatest financial risk in the value chain due to persistent liquidity shortfalls.
It added:“The truth is that the power sector remains hamstrung by severe liquidity challenges,” APGC stated, adding that generation companies have continued to operate despite the accumulation of unpaid receivables.
It insisted that the narrative portraying the sector as unregulated and unchecked was misleading. It stressed that the electricity market operates under established regulatory frameworks and oversight mechanisms.
The group sought constructive engagement, the association urged stakeholders to focus on practical solutions to the sector’s liquidity crisis rather than apportioning blame.
It added:“GenCos deserve understanding, not castigation, ridicule or victimisation,” the statement said, warning that sustained negative rhetoric could further erode investor confidence in an already fragile industry.”
