Mr. Bola Tunji, Particular Adviser on Strategic Communications and Media Relations to the Minister of Energy, made this identified in Abuja throughout an interview with the Information Company of Nigeria (NAN) on Tuesday.
Tunji was responding to a latest public attraction by the GenCos below the Affiliation of Energy Era Firms (APGC), calling on the federal government and related stakeholders to urgently intervene and clear the debt backlog, which they are saying is crippling the sector.
“We anticipate a response from the Ministry of Finance very quickly. We’re not unaware of this debt arising from the Federal Authorities’s dedication on subsidy. A part of the money owed are legacy money owed, which had been on the bottom earlier than the minister of energy assumed workplace,” he added.
Based on Tunji, the debt is a significant impediment to the graceful functioning of the facility sector, and resolving it’s a prime precedence for the ministry.
“The minister has repeatedly harped on this, understanding the implication of such money owed to the operations of the assorted energy sector stakeholders, particularly the GenCos,” he stated.
GenCos warn of looming Energy Disaster
Earlier, the Affiliation of Energy Era Firms (APGC) had raised the alarm over the deepening liquidity disaster within the Nigerian Electrical energy Provide Trade (NESI), warning that the continued accumulation of debt threatens the viability of the facility vegetation.
In a press release signed by retired Col. Sani Bello, Chairman of APGC’s Board of Trustees, the GenCos disclosed they’re owed N2 trillion for energy equipped in 2024 alone, along with N1.9 trillion in legacy debt.
He added that, other than being owed vital sums, the GenCos additionally face a tricky working surroundings marked by risky change charges, excessive inflation, and poor entry to finance.
“In addition to being owed large money owed, the GenCos had been additionally working below very harsh financial and monetary circumstances. It’s no extra information that the GenCos have continued to bear the brunt of the liquidity disaster within the Nigerian Electrical energy Provide Trade (NESI),” he said.
Stakeholders within the energy sector have repeatedly referred to as on the Federal Authorities to implement monetary stabilization measures to stop additional collapse of electrical energy technology and distribution within the nation.
Extra insights
In March 2025, the Managing Director of the Niger Delta Energy Holding Firm (NDPHC), Jennifer Adighije referred to as for pressing presidential intervention to safe funding for ongoing energy tasks and settle excellent funds owed to Era Firms (GenCos), as a part of efforts to enhance electrical energy provide throughout Nigeria.
Adighije highlighted the extreme liquidity challenges dealing with the facility sector, with over N4 trillion owed to GenCos, which has hindered their means to function effectively.
Discover more from Parrotainment
Subscribe to get the latest posts sent to your email.
