Under fire over electricity pledge, Tinubu announces ₦3.3 trillion plan

President Bola Ahmed Tinubu is facing renewed criticism over Nigeria’s deepening electricity crisis after unveiling a ₦3.3 trillion plan aimed at stabilising the power sector, a move many Nigerians say falls short of his earlier promises.

The presidency announced on Sunday that Tinubu had approved a structured payment plan to settle long-standing debts owed across Nigeria’s power value chain, describing it as a key step toward restoring reliable electricity.

According to a statement signed by presidential spokesman Bayo Onanuga, the plan addresses “legacy debts” accumulated between 2015 and 2025 under the Presidential Power Sector Financial Reforms Programme.

Following a review, the government pegged the total verified debt at ₦3.3 trillion, to be paid as a “full and final settlement.” So far, 15 generation companies have signed agreements covering ₦2.3 trillion, with the government raising ₦501 billion and disbursing ₦223 billion.

“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,” said Olu Arowolo-Verheijen, special adviser to the president on energy.

She added that the plan forms part of broader reforms, including improved metering and service-based tariffs, with a focus on supplying more stable electricity to businesses and industries.

Mounting pressure over broken promises

The announcement comes at a politically sensitive moment for Tinubu, whose administration is under growing pressure as early positioning for the 2027 elections begins.

During the 2023 campaign, Tinubu had publicly pledged to fix Nigeria’s chronic electricity problems within four years, stating that voters should not re-elect him if he failed to deliver stable power.

That promise has resurfaced widely on social media in recent weeks, as Nigerians grapple with worsening blackouts, rising tariffs, and continued reliance on expensive alternatives like diesel and petrol generators.

Despite multiple reform announcements, electricity supply has remained erratic, with national grid collapses and generation constraints persisting.

While the presidency argues that clearing debts will unlock improved generation, analysts say the intervention largely repeats past approaches without addressing deeper structural failures.

Nigeria’s power sector has been weighed down for years by liquidity crises across generation (GENCOs) and distribution companies (DISCOs), poor revenue collection, gas supply constraints and weak transmission infrastructure.

Successive governments have intervened with financial bailouts and payment guarantees, yet service delivery has seen little sustained improvement.

Critics argue that settling debts, while necessary, does not automatically translate into better electricity for consumers.

Public skepticism grows

Online reaction to the announcement has been largely negative, with many Nigerians questioning whether the new plan will deliver different results from previous interventions.

“Power sector ‘reforms’ have been announced for years – what makes this one different?” asked a user on X, Idris Garba.

For households and businesses already burdened by inflation and rising energy costs, the promise of future improvements offers little immediate relief.

The Tinubu administration has defended its broader economic reforms as necessary to stabilise the economy, but those measures – including fuel subsidy removal and currency reforms – have significantly increased living costs.

The presidency said implementation of the current plan has begun, with a second phase expected later this year.