Lagos, March 31, 2026 (NAN) Power generation companies in Nigeria have raised concerns over operational challenges linked to a N6.8 trillion debt burden.
They also called for coordinated stakeholder efforts to sustain electricity supply across the country
Dr Joy Ogaji, Chief Executive Officer of the Association of Power Generation Companies (GenCos), made this known in an interview with the News Agency of Nigeria (NAN) on Tuesday in Lagos.
Ogaji said the sector was navigating financial and operational pressures, with some generation units experiencing constraints.
“We have not shut down, but some units are going offline progressively, not only due to gas supply issues, but also maintenance and funding challenges,” she said.
She noted that recent power supply fluctuations reflected broader issues, including infrastructure demands, outstanding payments and workforce pressures.
“Operators are working to sustain operations, but the current financial obligations have created constraints across the value chain,” she added.
Ogaji said the N6.8 trillion obligation included outstanding invoices for electricity generated since 2015, capacity payments, foreign exchange differentials and accrued interest.
She noted that ongoing engagements between GenCos and the Nigerian Bulk Electricity Trading Company (NBET) were focused on reconciling outstanding obligations.
“The last reconciliation with NBET was in March 2025, and discussions are continuing to reach alignment on the figures,” she said.
Ogaji also highlighted operational costs not fully reflected in existing tariffs, including plant start-ups and shutdowns, ancillary services and the Free Governor Mode of Operation (FGMO).
She added that gas supply and transmission considerations had also influenced plant utilisation levels.
Although, with the challenges, Ogaji expressed confidence that the situation coule be addressed through sustained collaboration among stakeholders.
“The focus remains on strengthening the sector through coordinated action and adherence to established frameworks,” she said.
She emphasised the importance of continued efforts to enhance operational efficiency, maintain infrastructure and support long-term sustainability in the power sector. (NAN)
