The debt compensation plan adopted the ultimate evaluate of the legacy money owed which have beset the ability sector for greater than a decade.
A press release by presidential spokesman, Bayo Onanuga, acknowledged that the long-standing money owed gathered between February 2015 and March 2025.
“Following verification, ₦3.3 trillion has been agreed as a full and last settlement, making certain a good and clear decision,” it acknowledged.
Based on the assertion: “Implementation has begun, with 15 energy crops signing settlement agreements totalling ₦2.3 trillion. The Federal Authorities has already raised ₦501 billion to fund these funds. Out of the quantity, N223 billion has been disbursed, with additional funds underway.
“What this implies for Nigerians: With funds reaching the ability worth chain, technology shall be extra steady. With energy crops supported, electrical energy reliability will enhance.”
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It additional added that because the sector stabilises, extra funding, extra jobs, and higher service will comply with.
“This programme isn’t just about settling legacy money owed. It’s about restoring confidence throughout the ability sector — making certain gasoline suppliers are paid, energy crops can maintain working, and the system begins to work extra reliably”, defined Olu Arowolo-Verheijen, Particular Adviser on Power to President Tinubu.
“It’s a part of a broader set of reforms already underway — together with higher metering and service-based tariffs that hyperlink what you pay to the standard of electrical energy you obtain.
“The federal government can also be prioritising energy provide to companies, industries, and small enterprises — as a result of dependable electrical energy is essential to creating jobs, supporting livelihoods, and rising the financial system.
“The objective is easy: extra dependable energy for properties, stronger help for companies, and a system that works higher for all Nigerians”, she added.
The assertion mentioned: “President Tinubu has recommended all stakeholders who supported efforts to resolve the legacy points within the energy sector. He has additionally confirmed that the subsequent section (Sequence II) will start this quarter.”