Christopher Ezeafulukwe, the Managing Director and CEO of Transcorp Power Ltd has highlighted the transformative power of digital payments in Nigeria’s power sector.
Speaking on Thursday at the Power & Water Nigeria Exhibition & Conference in a panel discussion titled “The Evolving Industry Landscape to Manage Liquidity and Boost Secured Digital Payments”, Ezeafulukwe stressed that the proliferation of digital payments in the sector is helping to improve liquidity and address consumer concerns.
Explaining the power value chain, the Transcorp Power CEO explained that the flow of electricity starts with Generation Companies (Gencos) selling electricity to the Nigerian Bulk Electricity Trading Plc (NBET), which then sells it to Distribution Companies (Discos).
“Digital payment solutions have facilitated smoother transactions and improved liquidity,” Ezeafulukwe said.
He also highlighted the positive impact of digital platforms in reducing Aggregated Technical Commercial and Collection (ATC&C) losses, improving efficiency, and reaching unbanked areas.
“Additionally, digital payment platforms facilitate timely payments and reduce losses in the distribution network. However, challenges persist, including the need for increased awareness, customer enlightenment, and consumer cooperation,” Ezeafulukwe stated.
Regarding metering challenges, the Transcorp Power MD/CEO acknowledged that proper enumeration is essential for effective metering. With accurate enumeration, distribution companies can plan better, determine the appropriate number and types of meters, and enhance collection.
He stressed the importance of consumer cooperation in making the metering system work, as some consumers resist metering due to electricity theft or underpayment.
Ezeafulukwe, however, commended the progress made in metering and collection through digital channels, with some distribution companies now receiving over 90% of collections through digital platforms.
He emphasized the need for continued investment, customer enlightenment, and incentives to further promote digital payment adoption and efficient metering.
“Digital payments bring numerous benefits to the power sector. They offer convenience, reliability, and accountability for consumers, allowing them to pay for what they consume and manage their resources more efficiently,” Ezeafulukwe said, adding that energy-efficient appliances and devices are encouraged for cost and energy saving.
He stressed that with a collective commitment from all stakeholders, Nigeria’s power sector can continue to leverage digital payments for a more efficient and sustainable future.
Transcorp Power Limited, the power subsidiary of Transnational Corporation Plc (Transcorp Group), is a leading player in the Nigerian power sector, committed to delivering reliable and efficient electricity supply to the nation.
With a focus on innovation, sustainability, and customer satisfaction, Transcorp Power continues to drive positive change in the Nigerian energy landscape.
