MON APRIL 06 2026-theGBJournal| President Bola Ahmed Tinubu has approved a N3.3 trillion payment plan aimed at clearing longstanding debts in Nigeria’s electricity sector accumulated between February 2015 and March 2025, a move positioned as a decisive step toward restoring stable and reliable power supply.
The full and final settlement, was approved following verification to ensure a fair and transparent resolution.
The intervention targets liabilities accumulated under the Presidential Power Sector Financial Reforms Programme, which has struggled to resolve deep-rooted liquidity challenges in the industry, and targeted at prioritising power supply to businesses, industries, and small enterprises.
The settlement is expected to ease financial pressure on generation companies, gas suppliers, and other stakeholders across the power value chain, many of whom have grappled with chronic payment shortfalls.
By injecting much-needed funds, the government hopes to improve operational capacity, encourage fresh investment, and stabilize electricity output in a sector critical to Nigeria’s economic growth.
However, questions remain over whether the massive payout alone can address the structural inefficiencies that have long plagued the industry.
From transmission bottlenecks to distribution losses and tariff shortfalls, analysts warn that without sustained reforms and accountability, the intervention may offer only temporary relief rather than a lasting solution to Nigeria’s persistent power crisis.
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