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Power firms owe banks N820bn, sector’s problems persist

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The debt owed to Nigerian banks by operators in the power sector rose by 11.85 per cent in one year to N819.97bn in August this year amid the lingering problems plaguing the sector since it was privatised over eight years ago, according to the Central Bank of Nigeria data.

The PUNCH had reported in July last year that the core investors in the distribution companies were looking to restructure the loans advanced to them by banks for the acquisition of the power assets.

In November 2013, the nation’s distribution and generation companies were privatised, fetching about $3.2bn for the Federal Government, as the Discos and Gencos were sold for $1.7bn and $1.5bn, respectively.

Power generation firms and independent power producers increased their total debt to N500.12bn in August 2021 from N418.01bn in the same month last year, data obtained from the CBN show.

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Transmission and distribution firms owed banks N339.39bn as of August, up from N311.54bn a year earlier, according to the CBN data.

“Several banks made loans to the power sector during the power sector privatisation in 2013. If power sector loans become impaired, this leads to an increase in the cost of risk for these banks. These loans include significant sums lent to purchase power generation and distribution assets.” analysts at CSL Stockbrokers Limited said in a note on Friday.

Last week, it emerged that the United Bank of Africa Plc, which provided the loan used for the acquisition of majority shares in Abuja Electricity Distribution Company, had taken over the majority stake in the Disco.

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The Nigerian Electricity Regulatory Commission and the Bureau of Public Enterprises disclosed in a joint statement that there was a dispute with UBA over the inability of AEDC’s core investor, KANN Utility Company Limited, to service its debt to the bank.

“It then became apparent that decisive steps were required to address the matter and BPE agreed with the lender’s request to exercise its powers as receiver/manager over KANN by exercising its power over the 60 per cent equity in AEDC as a means of recovering the acquisition granted by the bank,” they said.
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CSL Stockbrokers Limited noted that UBA had in 2016 confirmed exposure to Ughelli Power Plant, Ikeja and Abuja Discos.

It said, “As of H1 2021, UBA reported nine per cent of its gross loans to the power and energy sector, which comes roughly to about N245.4bn.

“Since the conclusion of the privatisation process that took place in 2013, Discos have remained the weakest link in the electricity value chain, as they have been grappling with enormous operational challenges.”

According to the analysts, the most obvious challenge has been the perennial issue of the absence of cost-reflective tariffs, a condition that has hindered their ability in fulfilling their financial obligations to the Nigeria Bulk Electricity Trading Plc, leading NBET to default in its contractual obligation to Gencos.

They said, “The overall impact is that the power sector has continually suffered a cash crunch, forcing the government to inject funds to avert a total collapse. Despite a series of government interventions, the problems in the power sector prevail.

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“Although we acknowledge that the challenges in the nation’s power sector run across the entire value chain, we believe the distribution companies are the most troubled.”

All rights reserved. This material, and other digital content on this website, may not be reproduced, published, broadcast, rewritten or redistributed in whole or in part without prior express written permission from PUNCH.

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OmegaPro Spearheads The Biggest Event In The History Of Maldives

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OmegaPro took over Maldives for one whole week and organized the biggest event the island has ever seen.

Over 1,000 people from the OmegaPro community, founders, celebrated football legends like the Spanish and Barcelona great Carles Puyol, French wizard Eric Abidal, Colombian icon Faryd Mondragón, Bollywood superstars, Indian cricketers and more congregated on the supremely exotic Siyam World in Maldives.

Celebration, Education, live-mentoring & group brainstorming sessions, football tournaments, and life-transforming self-empowerment seminars – this one-of-a-kind event will go down as the biggest event in the history of Maldives for a long time to come.

“I alone cannot change the world, but I can cast a stone across the waters to create many ripples.” – Mother Teresa. This was the prime motive that saw the dawn of the greatest event in the history of Maldives, spearheaded by global marketing leader OmegaPro.

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Eric Worre conducting an intensive training session to more than 1,000 people at Diamond Trip Maldives

Community – The focal point of human experience

OmegaPro sees these events to promote its ideology – “Grow as One”

One aspect of OmegaPro’s community-centric approach is to increase self-esteem and cultivate a sense of belonging & oneness among the community members. It enables people to share personal relatedness and support the perpetual growth of each other, ourselves and our environment.

Leadership – The crux of success

“Leaders instill in their people a hope for success and a belief in themselves. Positive leaders empower people to accomplish their goals.”

As the OmegaPro organization is breaking ceilings and scaling newer heights, having the right people with the right mindset and drive is a critical component, not just for the benefit of the organization but also for the ever growing community’s happiness and the business’s overall culture.

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OmegaPro believes that when building a business, a leader and their team set out on a journey together. Part of building a strong relationship with the people who work with you is knowing how their goals align with the organization. Through this event, OmegaPro, transformed many followers into truly inspirational leaders to shape a better tomorrow for their respective communities.

In Maldives, OmegaPro, with the help of its official strategic coach Eric Worre, set the direction and goals to help people converge toward a common goal, and empower them to reach their full potential and stay motivated.

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Eric Worre even put forth strategies to push the horizon and seek innovative ways to achieve unparalleled success.

The other aspect of the community-centered approach of OmegaPro is to inculcate a sense of ownership in people. OmegaPro is a firm believer of the fact that one must feel personally and positively impacted by the success of the mission. “Leadership is the cornerstone of a strong community.”

OmegaPro’s vision to “Breaking Barriers Through Education, Shaping Leaders Of Tomorrow” is being carried out through extensive training with unique and effective skill development programs. With resources customized to perfection by the greatest legends of the respective industries, OmegaPro is on its way to become the one-stop destination for accessing fundamental tools, special materials, dedicated coaches and once-in-a-lifetime experiences.

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Gideon Adebisi, an OmegaPro Diamond Executive in Maldives

An ode to the OmegaPro community

Celebrating victories and milestones is just as important as achieving and accomplishing them. Diamond Trip Maldives was all about honoring the phenomenal grit and determination shown by the diligent members of the community and to get them ready for the road forward.

screenshot 2022 11 18 at 08 24 01 carles puyol and mario yepes omegapro.jpg.webp (webp image 790 × 367 pixels)

Legendary footballers Carles Puyol and Mario Yepes snapped on arrival at the OmegaPro Diamond Cup in Maldives

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Beloved community members acknowledging OmegaPro

About OmegaPro

OmegaPro is a global marketing leader with a massive education platform offering the best skill development training to empower the OmegaPro Community. With resources customized to perfection by the greatest legends of the respective industries, OmegaPro is a one-stop destination for accessing fundamental tools, special materials, dedicated coaches and once-in-a-lifetime experiences.

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OmegaPro is on a mission to Break Barriers Through Education To Create Leaders Of Tomorrow. Through education, OmegaPro has become the home and benchmark of new opportunities that are always ahead of the curve and supported by an elaborate team dedicated to your ambition and your success.

OmegaPro houses an extensive array of relevant educational tools, renowned personnel and acclaimed resources as one of the most beloved and trusted learning platforms of its kind with a firm focus on the priceless mantra – Mentorship for the best can only be delivered by the best. With our community’s faith at the epicenter of OmegaPro’s operations combined with over five decades of cumulative expertise acting as the perfect catalyst, we are here to deliver a first-class learning environment as we keep marching on.

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Since our inception in 2019, OmegaPro now proudly has a massive community of over 2,500,000 active members and is growing by the blink of an eye as we scale greater heights every single day. And, we like to believe that this is only the very beginning of an incredible journey that awaits us and our community. Welcome to the revolution of tomorrow as we aim to orchestrate a better future. Visit www.omegapro.network

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Funmilayo Falola quits Wema Bank, joins ENGIE Energy Access as Global Head Of Communications

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The leading Pay-As-You-Go solar and mini-grids solutions provider in Africa, ENGIE Energy Access, has appointed consumer marketing professional, Funmilayo Falola as its Global Head of Communications.

The company, which aims to remain the leading clean energy company operates in nine countries across Africa (Benin, Cote d’Ivoire, Kenya, Mozambique, Nigeria, Rwanda, Tanzania, Uganda, and Zambia) with more than 1.5 million customers and over 8 million lives impacted so far.

At ENGIE Energy Access (Africa), she will oversee the communication strategies including the brand, image, and product, while providing support for the company across the region.

Before joining ENGIE Energy Access (Africa), Falola was the Head, Marketing Communications & Investor Relations at Wema Bank Plc.

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Prior to pitching her tent with Wema Bank, she worked at First Bank of Nigeria Ltd as the Head, Internal Communications & Merchandising & Warehousing where she developed and implemented the year-on-year internal communications strategy in alignment with the overall marketing strategy.

She started her career at CentrespreadFCB (now CentrespreadGREY) in 2005 where she cut her teeth as a Senior Executive – Business Development between 2005 and 2006, and rising through the ranks to the position of Client Service & Strategy in 2009.

Falola holds a Bachelor of Science, Political Science from the University of Lagos, UNILAG, in 2002. She proceeded to earn a Master of Business Administration, MBA in Marketing, from the same institution in year 2020.

She also has a Post Graduate Diploma, Marketing from the University of Leicester, United Kingdom.

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Wema Bank to support SMEs in Port Harcourt with SME Business School 4.0

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Wema Bank Plc, the pioneer of Africa’s first fully digital bank, ALAT, has once again demonstrated its unwavering commitment towards developing the capacity of SMEs in Nigeria to scale by launching the fourth edition of its SME Business School in Port Harcourt.

Designed to help build capacity for SMEs in the country, Wema Bank’s SME Business School was launched in Lagos in 2021. The second edition took place virtually, while the third edition happened in Abuja. Now making its journey to the South-South geopolitical zone of the country, the initiative has helped to equip SMEs in various parts of the country with the business management knowledge and skills required to effectively run their enterprises and respond to the ever-evolving challenges of today’s business world.

According to the Divisional Head, Retail Business at Wema Bank, Dotun Ifebogun, the Wema SME Business School was birthed in a bid to close the critical knowledge gap in the SME space in Nigeria, and each edition of the programme takes place in a different part of the country to ensure that SMEs all around the country participate and benefit.

He mentioned that the 4th edition of the Wema SME Business School, which holds in Port Harcourt and starts on Monday, November 14, 2022, would impart contemporary business management skills and knowledge to growing businesses operating within the South-South region of the country. “We intend to make them champions and successful enterprises, thus supporting the economic growth of the country,” he said.

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He disclosed that the bank has collaborated with top-notch consultants from renowned organizations within and outside Nigeria, including Deloitte, Facebook (Meta), and Nexford University, to serve as facilitators on the programme and ensure that the participants get an immersive and invaluable learning experience.

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Dotun further noted that the initiative would be a meaningful addition to SMEs seeking to scale and strengthen their market positions.

“As an SME-friendly bank, we understand that starting and running a business in Nigeria is no small feat, and there are lots of challenges that SMEs face.

“We started the Wema SME Business School to equip them with relevant and practical knowledge that will guide them in the effective running of their businesses and to surmount any challenges that they encounter.

“Through this, we can tackle problems such as poor access to finance, poor market access, technological disruptions, and macroeconomic uncertainty. All in all, we will equip them with fresh ideas and insights that will help them to take their businesses to a higher level,” he said.

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Businesses interested in leveraging this opportunity and participating in the Wema SME Business School 4.0 can register with the link https://forms.gle/TRj7ACzTQJkWrb3D8.

The Wema SME Business School is one of the various beyond-banking initiatives offered by Wema Bank PLC to complement its bespoke financial offerings for SMEs.

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