President Bola Ahmed Tinubu is scheduled to hold a crucial meeting with the leadership of Nigeria’s electricity generation companies (GenCos) as part of efforts to resolve a staggering N4 trillion debt threatening the country’s power sector.The planned engagement comes in the wake of an emergency meeting held last Tuesday in Abuja between the Minister of Power, Adebayo Adelabu, and executives of the GenCos. The meeting was convened amid growing fears of a potential collapse of the national grid due to severe liquidity challenges.In a statement released on Sunday, Bolaji Tunji, Special Adviser to the Minister on Strategic Communications and Media Relations, disclosed that the Federal Government intends to pay a substantial portion of the debt in cash. The outstanding balance will be settled through promissory notes within the next six months.“There is a need to pay a substantial amount of the debt in cash. At the minimum, let us pay a substantial amount, then ask for debt instruments in promissory notes to pay the rest,” Adelabu said, emphasizing the urgency of the situation, which he described as a national emergency.Representing the GenCos at the meeting was Col. Sani Bello (retd), Chairman of Mainstream Energy Solutions and head of the Association of Power Generating Companies. Bello reportedly warned that the power sector faces imminent collapse if swift financial interventions are not implemented.According to reports, the GenCos are owed more than N4 trillion—comprising approximately N2 trillion for power generated in 2024 and N1.9 trillion in long-standing debts.The upcoming meeting with President Tinubu is expected to cement the Federal Government’s strategy to address the debt burden and stabilize electricity supply nationwide.
BREAKING: Tinubu to Meet GenCos Over N4tn Power Sector Debt
By Adeboye