The President and Group Chief Executive Officer of Transnational Corporation Plc, Owen Omogiafo, has confirmed that the Federal Government has started settling long-standing financial obligations owed to electricity generation companies, describing the move as a major breakthrough for Nigeria’s troubled power sector.
She disclosed this while speaking to journalists during the company’s 20th Annual General Meeting held in Abuja, noting that payment processes have already commenced for some of the firm’s power subsidiaries.
According to her, settlement and reconciliation agreements have been concluded for both Transcorp Power Plc and Transafam Power Limited. She stated that payments to Transafam have begun, while disbursement to Transcorp Power is expected later in the year.
Omogiafo commended the administration of President Bola Tinubu for taking steps to resolve what she described as “historical debts” that have weakened liquidity across the Nigerian Electricity Supply Industry for years.
The Federal Government had recently approved a N3.3tn settlement plan covering legacy debts owed to generation companies and gas suppliers between 2015 and 2025. The initiative is part of broader financial reforms aimed at restoring stability to the sector.
Despite challenges such as inconsistent gas supply and limitations in transmission infrastructure, the Transcorp boss said the group has continued to deliver solid operational results. She noted that the company remains focused on navigating sector constraints while identifying opportunities for growth.
Omogiafo also expressed confidence that recent policy adjustments and leadership changes within the power sector would help rebuild investor trust and attract further investments.
On returns to shareholders, she highlighted the company’s progress over the years, pointing out that dividend payments have moved from kobo values in the past to naira-denominated payouts.
Financial figures presented at the meeting showed that the group’s revenue rose by 33 per cent to N544bn in the 2025 financial year, largely driven by growth in its power and hospitality businesses. Profit before tax increased by 31 per cent to N179.5bn, while profit after tax climbed by 44 per cent to N135.9bn.
The company’s asset base also expanded significantly to nearly N1tn, while shareholders’ funds increased to N353bn, reflecting stronger financial standing.
The Board proposed a total dividend of N2.00 per share for the year, made up of a 40 kobo interim dividend and a final dividend of N1.60, amounting to a payout exceeding N20bn.
Operational performance in the power segment improved, with Transcorp Power raising its average available capacity to 550MW and peak capacity to 625MW. Transafam also recorded improvements in available capacity and generation levels due to better asset optimisation and improved gas supply.
In the hospitality arm, Transcorp Hotels Plc recorded increased demand, supported by the addition of a 5,000-seat event centre in Abuja, strengthening its position in Nigeria’s meetings and conferences market.
Chairman of the Board, Tony Elumelu, attributed the company’s performance to improved operating conditions, effective management, and sustained support from shareholders. He noted that dividend payments of N2 per share marked a significant improvement from previous years.
He added that the group’s investments in electricity, hospitality, and energy remain central to its mission of supporting economic growth and improving living standards in Nigeria.
