The Presidency has begun internal approval processes to resolve the N2tn legacy debt owed to electricity generation companies before the end of the coming quarter, as part of efforts to stabilise Nigeria’s power sector.
A representative of the Special Adviser to the President on Energy, Eriye Onagoruwa, disclosed this on Monday at the second Nigerian Electricity Supply Industry Stakeholders Meeting of 2025, hosted by the Nigerian Electricity Regulatory Commission.
She said the Presidency recognises the urgency of addressing the debt overhang, which has strained GenCos and impeded electricity supply nationwide, revealing that alternative debt instruments are being explored due to the Federal Government’s current fiscal constraints.
Recall that the Senate Committee on Power recently raised concerns over the liquidity crisis bedevilling the power sector, lamenting that the tariff shortfalls in the industry indicated that the government owes about N200bn to electricity-generating companies every month.
