ABUJA, Nigeria – Tony Elumelu, the chairman of Transcorp Group, has disclosed that the Nigerian government owes his company over N600 billion for electricity supplied to the national grid.
Speaking at an event, Elumelu expressed concern over the growing debt, which he estimates to be about $400 million, emphasizing the heavy burden this places on the company.
“As of date, the federal government owes your company over N600 billion,” Elumelu said.
“Much as we, patriotic Nigerian investors, are committed to supporting the efforts of the federal government in fixing the economy, we have a rather excruciating burden of subsidising the sector. It requires urgent attention.”
Despite this challenge, Elumelu acknowledged efforts by the present administration to address the liquidity issues in the power sector.
He particularly commended initiatives like the presidential metering programme and reforms in the power transmission sector.
However, he stressed that the implementation of these reforms must be swift to prevent further deterioration.
Elumelu also highlighted the impressive growth of Transcorp Plc, particularly under the ownership of his group since 2011.
He stated that the company’s market capitalisation had grown from less than N20 billion in 2011 to over N4.5 trillion today.
Under the leadership of the group, Transcorp has consistently paid dividends, a sharp contrast to the company’s situation before the takeover.
“We have declared N1 dividend for 2024. And 2025 will definitely be better than 2024,” he added.
Furthermore, Elumelu shared that Transcorp Power now boasts a market value of over N2.7 trillion and has fully repaid its $215 million foreign exchange acquisition loan in 2024.
“We are about transforming lives, improving lives and transforming Nigeria and Africa. Power is critical for the development of every economy,” Elumelu stated.
In addition to the company’s success in the power sector, Elumelu announced the completion of a new 5,000-capacity event centre at the Transcorp Hilton in Abuja.
This new facility aims to position Nigeria as a global hub for events, in the same league as other event destinations like Rwanda, Dubai, and Kenya.
The company is also exploring expansion into other key sectors, including agriculture and renewable energy, responding to shareholder recommendations.
Owen Omogiafo, president and GCEO of Transcorp Group, confirmed the firm’s commitment to excellence and innovation, as well as its focus on strategic diversification into agriculture.
With plans to invest in high-impact opportunities, Transcorp is positioning itself as a major player not only in Nigeria’s power sector but across other critical sectors of the economy.
