RismadarVoice Reporters, April 5, 2026
President Bola Ahmed Tinubu has approved a ₦3.3 trillion payment plan aimed at clearing long-standing debts in Nigeria’s power sector and improving electricity supply nationwide.
The approval, announced in a State House press release on Sunday, follows a final review of legacy debts accumulated under the Presidential Power Sector Financial Reforms Programme between February 2015 and March 2025.
According to the statement signed by the President’s Special Adviser on Information and Strategy, Bayo Onanuga, the agreed sum represents a full and final settlement intended to restore confidence and stability across the power value chain.
Implementation of the plan is already underway, with 15 power generation companies signing settlement agreements worth ₦2.3 trillion. The Federal Government has raised ₦501 billion to kick-start the process, out of which ₦223 billion has been disbursed, while further payments are ongoing.
The government said the intervention is expected to enhance electricity generation and supply by ensuring that power plants and gas suppliers receive payments, enabling more consistent operations.
Explaining the initiative, the President’s Special Adviser on Energy, Olu Arowolo-Verheijen, said the programme goes beyond debt settlement.
“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.
She added that the initiative forms part of broader reforms, including improved metering and service-based tariffs designed to align electricity costs with quality of service.
Arowolo-Verheijen also noted that the government is prioritizing power supply to businesses, industries, and small enterprises to support economic growth and job creation.
“The goal is simple: more reliable power for homes, stronger support for businesses, and a system that works better for all Nigerians,” she added.
President Tinubu commended stakeholders involved in resolving the sector’s challenges and confirmed that the next phase of the programme, known as Series II, will commence within the current quarter.
