Power sector crisis: Experts, consumers question Tinubu’s N3.3 trillion legacy debt approval

Electricity consumers and industry experts have raised concerns over President Bola Ahmed Tinubu’s recent approval of N3.3 trillion to settle legacy debts in Nigeria’s power sector. The debt, owed primarily to generation companies (GenCos), has long been cited as a major obstacle to improving electricity supply.

 

Presidential Spokesperson Bayo Onanuga announced on Sunday that the N3.3 trillion plan had received official approval. However, the announcement has generated mixed reactions.

 

The Association of Power Generation Companies of Nigeria (APGC) expressed reservations about the figure, noting that GenCos were reportedly not consulted in determining the verified debt. APGC CEO, Joy Ogaji, questioned the methodology behind the N3.3 trillion assessment, warning that lack of stakeholder engagement could undermine the initiative’s effectiveness.

 

Media commentary has also been critical. Arise Television anchor Oseni Rufai described the announcement as “propaganda,” drawing parallels with a similar pledge made by Minister of Power, Adebayo Adelabu, in March 2024. In response, Onanuga defended the presidency, insisting the debt approval was legitimate.

 

The development comes amid recent confusion over a N501 billion power sector resettlement bond, leaving many Nigerians skeptical about the government’s ability to resolve the sector’s chronic issues.

 

As of April 3, 2026, electricity distribution companies were receiving only 3,345 megawatts, resulting in continued supply shortages. The situation disrupted activities across the country during the Easter period, leaving millions of consumers to contend with frequent blackouts.

 

Stakeholders warn that without clear implementation plans and genuine engagement with GenCos and other players, the N3.3 trillion approval may not translate into meaningful improvements in electricity supply.