Gencos Urge President Tinubu to Expedite Meeting Over N4.7tn Power Sector Debt
Electricity generation companies (Gencos) have called on President Bola Tinubu to hasten a meeting with the firms regarding the N4.7 trillion power sector debt. Despite the absence of a fixed date for the meeting, the Gencos expressed a strong desire for it to occur as soon as possible to address the mounting liquidity issues in the sector.
In a discussion with our correspondent, the Managing Director and Chief Executive Officer of the Association of Power Generation Companies (APGC), Joy Ogaji, shared cautious optimism regarding the government’s commitment to clearing the debt. “While we remain hopeful, we need to see tangible actions to resolve the challenges threatening the stability of the power sector,” she stated.
This call for urgency follows a high-level meeting between the Minister of Power, Adebayo Adelabu, and chairmen of the Gencos in Abuja, where concerns about a potential collapse of the national grid due to the financial constraints were raised. Following the meeting, the government announced that President Tinubu would meet with the generation companies to discuss ways to reduce the debt, which has become a critical issue for the survival of the power sector.
A statement issued by the Special Adviser to the Minister of Power, Bolaji Tunji, confirmed that the federal government is committed to settling a significant portion of the N4.7 trillion debt immediately. The remainder will be cleared through financial instruments such as promissory notes over the next six months.
The Gencos continue to stress the importance of resolving the debt swiftly to prevent further strain on Nigeria’s electricity generation capabilities and ensure the stability of the national grid.
