First Independent Power Limited has confirmed its support for the Federal Government’s N3.3tn power sector debt settlement plan, describing the initiative as a crucial step toward restoring stability and confidence in Nigeria’s electricity industry.
In a statement issued on Tuesday, the company said it had formally joined the Presidential Power Sector Financial Reforms Programme and executed the required settlement agreements.
The Chief Executive Officer of the firm, Seyi Sobogun, said the progress recorded so far under the initiative was encouraging and signals renewed confidence across the sector.
“We confirm our participation in the programme and the execution of the requisite settlement agreements. The progress recorded to date is encouraging and reflects tangible momentum that is beginning to rebuild confidence across the industry,” Sobogun stated.
He also pointed to the success of the January 2026 bond issuance as evidence of growing market confidence in the programme.
According to him, the bond issuance raised N501bn and was fully subscribed by investors.
“The January 2026 bond issuance, which was 100 per cent subscribed and raised N501bn, is a particularly strong indicator of market confidence in the programme’s trajectory, and we look forward to the outcome of the subsequent planned issuances as the programme advances,” he added.
The Presidential Power Sector Financial Reforms Programme follows the approval by Bola Ahmed Tinubu of a N3.3tn payment plan aimed at clearing legacy debts accumulated in the electricity sector between February 2015 and March 2025.
Under the programme, the Federal Government announced that implementation had already commenced, with 15 power plants signing settlement agreements worth a combined N2.3tn.
Authorities also disclosed that N501bn has been raised so far to support the payment process, with N223bn already disbursed and additional payments ongoing.
The reform initiative is expected to stabilise electricity generation and improve the reliability of power supply across Nigeria.
Speaking on the initiative, the Special Adviser to the President on Energy, Olu Arowolo-Verheijen, said the programme goes beyond settling outstanding debts.
“This programme is not just about settling legacy debts. It is about restoring confidence across the power sector, ensuring gas suppliers are paid, power plants can keep running, and the system begins to work more reliably,” she said.
First Independent Power Limited reaffirmed its commitment to working with stakeholders to ensure the success of the reforms.
The company noted that collaboration among industry players would be critical to strengthening Nigeria’s power sector and delivering more reliable electricity to consumers.
