Power Sector Crisis: Tinubu to Intervene in N4 Trillion Debt Dispute with Generation Companies
President Bola Tinubu is set to hold discussions with the leadership of Nigeria's power-generating companies (Gencos) in a bid to address the critical N4 trillion debt that threatens the stability of the nation's electricity supply. This move is a direct response to the escalating concerns raised during a recent meeting between the Minister of Power, Adebayo Adelabu, and the chairpersons of the Gencos in Abuja. The urgency of the situation stems from fears that the national power grid could collapse due to severe financial constraints within the sector. The Gencos had earlier issued a stark warning to the Federal Government regarding the growing debt, which has now reached a staggering N4 trillion. This figure includes N2 trillion owed for power supplied in 2024 and N1.9 trillion in legacy debts. Bolaji Tunji, the Minister's Special Adviser on Strategic Communications and Media Relations, revealed that the Federal Government has committed to immediately settling a significant portion of the debt. The remaining balance is to be addressed through financial instruments, such as promissory notes, within the next six months. This plan is to be presented during the scheduled meeting between President Tinubu and the Gencos’ leadership.