The Central Bank of Nigeria (CBN) has disbursed a sum of N114.74bn to 29 power Firms under its Nigerian Electricity Market Stabilisation Facility, The Punch reports.
The amount is contained in the Financial Stability Report of the apex bank. The report stated that while N114.7bn was Provided to the power firms as loans, a total of N6.26bn had been repaid leaving an outstanding debt of N106.64bn.
The N213bn NEMSF, which was established in 2015, is being provided as loans to operators in the power sector at an interest rate of 10 per cent. Some of the areas where the funds are to be invested are plant maintenance, upgrade LG transmission and distribution networks, acquisition of transformers and effective metering to consumers.
A breakdown of the disbursements showed that the sum of N49.62bn was provided to seven power distribution companies, while N49.06bn was given to 15 power generation companies. In the same vein, the sum of N15.6bn was provided to fund the operation of six gas companies while N460m was given to one service provider in the power sector.
The post CBN has disbursed N114.74bn to 29 power firms – Report appeared first on Energy News | Oil and Gas News - Energy Mix Report.