Tinubu approves ₦3.3tn plan to settle power sector debts
President Bola Tinubu has approved a ₦3.3 trillion payment plan to resolve long-standing debts in Nigeria’s power sector and improve electricity reliability. The debts accumulated between February 2015 and March 2025 under the Presidential Power Sector Financial Reforms Programme. The government has already begun implementing the plan, with settlement agreements signed by fifteen power plants. The initiative aims to stabilise the power value chain and enhance electricity supply for Nigerians.
What we know
- Bola Tinubu approved a ₦3.3 trillion payment plan to address power sector debts.
- The debts were accumulated between February 2015 and March 2025 under the Presidential Power Sector Financial Reforms Programme.
- Fifteen power plants have signed settlement agreements totalling ₦2.3 trillion.
- The Federal Government has raised ₦501 billion for the payments, with ₦223 billion already disbursed.
- The reforms are expected to improve electricity reliability and support businesses, industries, and small enterprises.
