A notable payment of N205 billion was made by the Federal Government of Nigeria towards amortizing outstanding debts owed to Generation Companies (GenCos), totaling N1.3 trillion. This move aimed to improve liquidity in the energy sector.
This information was revealed by Adebayo Adelabu, Minister of Power, during an oversight visit by the House of Representatives Committee on Power on August 20, 2024.
Earlier, in February, Adelabu highlighted the substantial N3 trillion debt owed to power generation and gas companies, advocating for the discontinuation of electricity subsidies. However, on May 16, President Bola Tinubu approved a phased repayment plan for these debts.
Regarding the liability repayment, Adelabu stated, “We have started paying them in bits. About three weeks ago, we settled N205 billion out of the N1.3 trillion owed to GenCos.”
