President Bola Tinubu has approved the payment plan to settle the outstanding debts under the Presidential Power Sector Financial Reforms Programme.
According to Bayo Onanuga, Presidential spokesman, the debt repayment plan followed the final review of the legacy debts that have beset the power sector for more than a decade.
The long-standing debts accumulated between February 2015 and March 2025.
‘Following verification, ₦3.3 trillion has been agreed as a full and final settlement, ensuring a fair and transparent resolution.
“Implementation has begun, with 15 power plants signing settlement agreements totalling ₦2.3 trillion. The Federal Government has already raised ₦501 billion to fund these payments. Out of the amount, N223 billion has been disbursed, with further payments underway.
“What this means for Nigerians: With payments reaching the power value chain, generation will be more stable. With power plants supported, electricity reliability will improve.
“And as the sector stabilises, more investment, more jobs, and better service will follow.
Commenting on the development, Olu Arowolo-Verheijen, Special Adviser on Energy to President Tinubu, said, “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,” explained “It is part of a broader set of reforms already underway — including better metering and service-based tariffs that link what you pay to the quality of electricity you receive.
“The government is also prioritising power supply to businesses, industries, and small enterprises — because reliable electricity is critical to creating jobs, supporting livelihoods, and growing the economy.
“The goal is simple: more reliable power for homes, stronger support for businesses, and a system that works better for all Nigerians.”
Tinubu has commended all stakeholders who supported efforts to resolve the legacy issues in the power sector.
He has also confirmed that the next phase (Series II) will begin this quarter.
The current administration has been under pressure over the power sector crisis.
On Saturday, Peter Obi, Labour Party Presidential Candidate in the last general election, taunted Tinubu over his failed promise in power sector.
Taunting the President over the incident which happened during his condolence visit to Jos, Plateau State, over the killings of 28 persons, Obi asked Nigerians to reject Tinubu in the next election.
Tinubu had told his audience at Jos that he would leave in 10 minutes because there was no light, a comment which sparked off tons of reactions on social media. Riding on the wave of comments, Obi had said, “During the 2023 campaign, President Tinubu made a clear electoral promise: “If I don’t give you constant electricity in four years, don’t vote for me for a second term.” When he took office in 2023, Nigeria had a power supply of over 4,000 megawatts and lower tariffs. Today, the electricity power supply is less than 4,000 megawatts on the average, and Nigerians are paying higher tariffs.
“Nigeria currently has the lowest per capita electricity consumption in the world, with a rate below 30% of the African average. Africa’s average is 617kwh, Nigeria’s is 144 kWh. This means that Nigerians consume least electricity than other Africans. In a glaring display of disregard for promises and a lack of trust, President Tinubu, during a brief airport stopover to visit grieving families of the Jos attack on Thursday, April 2, 2026, stated that one of the reasons for his 10-minute stay was that the airport had no electricity. “You have no light here I fly out in ten minutes” At a time when Nigerians are enduring days without power, our leaders cannot even stay a few minutes without it. Now is the time to stop incompetent leaders—those lacking the capacity and compassion—who prioritise their own comfort over the well-being of the people and make empty promises.”
Daily Trust fact checked some of the claims made by Obi. You can