The Presidency on Sunday announced that President Bola Tinubu has approved a N3.3trillion payment plato aimed at settling the outstanding energy debts under the Presidential Power Sector Financial Reforms Programme.
In a statement issued in Abuja on Sunday by the Special Adviser, Media and Strategy to the President, Bayo Onanuga, “The debt repayment plan followed the final review of the legacy debts that have beset the power sector for more than a decade.”
According to the statement, “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.
Onanuga revealed that 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.
Onanuga Quoted Olu Arowolo-Verheijen, Special Adviser on Energy to President Tinubu as saying that “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,”
Olu Arowolo-Verheijen, further stated that the approval “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.”