Transcorp Power Plc has announced plans to increase its share of electricity generation in Nigeria to 25 per cent, up from its current 12 per cent.

The company’s Chairman, Mr Emmanuel Nnorom, disclosed this in Abuja on Tuesday during its Annual General Meeting, where he outlined the company’s targets for growth in the nation’s power sector.

“The power we’re generating today, our target is 25 per cent of the power consumed in Nigeria. We are presently at about 12 per cent of power consumed in Nigeria. And the plan this year is to be at 15 per cent. Our target is to be at 25 per cent,” Nnorom said.

He added that the company was prioritising improvements in gas supply and infrastructure to boost electricity output and support industrial growth.

Speaking on Transcorp Power’s financial performance, Nnorom noted that despite macroeconomic challenges, the company recorded 115 per cent revenue growth in 2024, rising from N142.1bn in 2023 to N305.9bn.

Operating profit for the year stood at N114.03bn, up from N64.63bn in 2023, while profit before tax increased from N52.8bn in 2023 to N113.3bn in 2024.

The company’s profit after tax surged by 165 per cent, growing from N30.2bn in 2023 to N80.01bn in 2024.

He further highlighted that Transcorp Power had fully repaid its $215m foreign currency acquisition loan, which was secured in 2014.

Following the complete repayment, the company’s gearing ratio dropped from 64.48 per cent in 2023 to 29.70 per cent in 2024, strengthening its financial position.

“The repayment of our USD loan has significantly strengthened our financial position, enabling us to pursue more growth opportunities,” he said.

The company was listed on the Main Board of the Nigerian Exchange on March 4, 2024, with an initial market capitalisation of N1.80tn, which increased to N2.70tn by December 31, 2024.

On dividends, Nnorom reaffirmed the company’s commitment to delivering value to shareholders, noting that the Board of Directors had recommended and paid an interim dividend of N1.50k per ordinary share in July 2024.

He further announced that the Board had proposed a full dividend of N5 per share, comprising an interim dividend of N1.50k and a final dividend of N3.50k per share, bringing the total payout to N37.5bn.

The company also made strides in boosting its power generation capacity. It recovered an additional 125MW of capacity in 2024, increasing its total available capacity from 500MW at the start of the year to 625MW by year-end.

Nnorom said this improvement would further enhance the company’s generation capacity in 2025.

“The power sector remains critical to Nigeria’s economic growth. While gas supply constraints and grid stability issues posed challenges, we proactively secured alternative fuel sources and invested in grid infrastructure to mitigate risks,” he said.

He also addressed the ongoing transition within the Nigerian Electricity Supply Industry, which is moving towards a bilateral contract model between generation and distribution companies.

This shift will replace the existing system where the Nigerian Bulk Electricity Trading Plc acts as an intermediary.

“Transcorp Power is well-positioned to leverage this transition, having executed a Power Purchase Agreement with Abuja Electricity Distribution Company and engaging in advanced discussions with other DisCos,” he said.

The company also reinforced its position in the regional electricity market through its role as an Executive Board member of the West Africa Power Pool.

A key milestone in 2024 was the expansion of its partnership with Société Béninoise de Production d’Électricité in the Republic of Benin, increasing its contracted capacity from 130MW to 200MW.

The expansion is expected to facilitate higher electricity exports and reduce stranded capacity at its plants.

The Managing Director and Chief Executive Officer of Transcorp Power, Mr Peter Ikenga, assured shareholders of the company’s positive outlook for 2025, stating that it remains on a strong growth trajectory.

“We’re on the right trajectory. If you look at our records over the last six years, we’ve been on an upward trajectory. And I can assure you that we have better things to come in 2025, at the end of the year,” Ikenga said.

He outlined the company’s strategic priorities for 2025, which include recovering plant capacity, improving operational efficiency, and implementing rigorous maintenance plans.

Other areas of focus include investments in human capital, cost optimisation, and the enhancement of environmental, social, and governance practices.

Ikenga reassured shareholders of the company’s long-term sustainability and profitability.