VP Shettima Commissions NELMCO Headquarters to Fix Power Debt
Nigeria has stopped gambling with its energy security. Vice President Kashim Shettima made this clear on Thursday while commissioning the new head office of the Nigerian Electricity Liability Management Company (NELMCO) in Abuja. The government views the power sector as the primary floor for national progress. This new facility in the Asokoro District is not just a building. It represents a shift toward data-driven governance and technical asset management. The administration wants to turn a historically broken sector into a commercially viable space for global investors.
NELMCO acts as the clearing house for the “burdens of yesterday.” Its main task is to manage the legacy debts and liabilities that have long choked the electricity market. By settling these old scores, the agency builds the credibility required to attract new capital. Managing Director Mojoyinoluwa Dekalu-Thomas revealed the agency has already moved beyond mere debt settlement. It has generated over N30 billion in revenue for the federal government. This performance suggests that the state is finally learning how to sweat its mid-stream assets.
The Strategy rests on the Electricity Act signed by President Bola Tinubu. This law broke the central monopoly and allowed all 36 states to generate and distribute their own power. Decentralisation is the new watchword. By liberalising the market, the government hopes to create a predictable environment for the private sector. The Minister of Power, Adebayo Adelabu, noted that liquidity remains the biggest hurdle. Strengthening NELMCO is a direct attempt to mop up the financial mess that prevents private firms from entering the fray.
Finance Minister Wale Edun linked these reforms directly to the survival of small businesses. Stable power is the cheapest way to subsidise the economy without handing out cash. The recent creation of the Grid Asset Management Company (GAMCO) complements this effort. While NELMCO handles the ghost of debts past, GAMCO focuses on the physical hardware of the future. Both agencies are designed to make the Nigerian Electricity Supply Industry bankable. This is a tall order for a sector known for its darkness.
Efficiency is also a matter of simple arithmetic. Senator Enyinnaya Abaribe noted that moving into a government-owned headquarters ends the era of wasting public funds on expensive private rentals. It is a small but symbolic victory for a government preaching austerity. The National Assembly has pledged to provide the legal framework to keep these agencies on track. Accountability must remain the guiding principle if this modernisation phase is to last.
Nigeria remains open for business, but on new terms. The Vice President invited international partners to look at the power sector with fresh eyes. He promised a transparent and investor-friendly climate. If NELMCO can continue to clean the books, the risk premium on Nigerian energy should drop. The goal is a sector that can fund itself without constant bailouts from the treasury. This is the only way to ensure that the possibilities of tomorrow are not mortgaged.