President Bola Tinubu will meet with Nigeria’s power companies to address a looming N4 trillion sector debt. This emergency meeting aims to prevent a collapse of the country’s fragile electricity supply chain.
Recently, Power Minister Adebayo Adelabu held a high-level session with Genco executives in Abuja. Following the meeting, the power ministry pledged quick financial relief for the struggling sector.
According to a Sunday statement, part of the debt will be paid in cash. The rest will be cleared with promissory notes over the next six months.
Debt, Gas, and Forex Cripple Nigeria’s Electricity Sector
Presently, Gencos say they are owed over N2 trillion for 2024 power supply alone. In addition, they claim another N1.9 trillion in unpaid legacy debt has accumulated. They warned that without immediate payment, the electricity market could completely collapse. They blamed liquidity issues, forex spikes, and unreliable gas supply for the sector’s decline.
Minister Adelabu called the crisis a “national emergency” and demanded immediate reforms.
He pushed for market liberalization and cost-reflective tariffs, saying subsidies are no longer viable. Meanwhile, industry leaders like Col. Sani Bello and Kola Adesina backed his statement.
They warned that energy instability now threatens hospitals, businesses, and daily life for Nigerians. Dr. Joy Ogaji of the Association of Power Generating Companies also raised key issues.
She said grid instability and FX shocks have weakened the power firms for years. She added that Gencos carry too many risks without enough government support.
“This model is no longer sustainable,” she said.
Tinubu’s Intervention Seen as Last Hope
Still, there’s no official date for the President’s meeting with Genco executives. However, the government insists the power crisis is now a top priority. Officials say debt resolution and reforms must happen soon to avoid total system failure.
Experts warn that further delay could plunge the country into darkness.
The outcome of Tinubu’s meeting could determine Nigeria’s energy future.
