For Nigeria’s electricity generation companies (GenCos), the past decade has been a test of endurance.
Despite being owed billions of naira, they’ve kept the turbines spinning, the engineers working, and the lights on—often with little more than grit and hope. Now, the Federal Government says help is in the pipeline.
At the 10th anniversary celebration of the Association of Power Generation Companies (APGC) in Abuja, the Ministry of Power announced the formation of a committee to tackle the long-standing debt owed to GenCos.
The goal? Clear the backlog and build a payment system that won’t collapse under future pressure.
But many in the industry have heard similar announcements and promises. Promises of reform have echoed through the halls of power before. Will this one be different?
Weathering the Storm, Remaining Afloat
The APGC’s anniversary was more than a celebration. It was a turning-point-themed event, “A Decade of Powering Progress, Driving Nigeria’s Energy Transformation,” which vividly captured the moment’s frustration.
GenCos have suffered gas shortages, grid instability, and chronic underpayment, yet at significant cost, they still operate.
Mr Mahmuda Mamman, Permanent Secretary of the Ministry of Power, acknowledged this doggedness, attributing it to “patriotism in action.”
Mamman, who Mrs Evangeline Babalola represented, praised GenCos for not walking away, even when the paucity of funds could have justified it.
Need for Transparency, Urgency and Results
The newly formed committee, according to Mamman, has a clear mandate: pay off the debts and prevent future ones. It’s a welcome gesture, but the industry has heard similar pledges before.
What stakeholders want now is transparency, urgency, and results. President Bola Tinubu’s recognition of the liquidity crisis in the Nigerian Electricity Supply Industry (NESI) is a step forward.
However, the real test will be whether this committee walks the talk and delivers tangible relief.
Messages from Stakeholders
Senator Enyinnaya Abaribe, Chairman of the Senate Committee on Power, spoke with introspection.
He recognised the tumultuous journey the sector has navigated, praising APGC for steering through regulatory minefields and pushing for reform.
His remarks highlighted an essential detail: GenCos aren’t just power producers—they’re policy influencers, economic drivers, and community builders.
Their role in training engineers, supporting rural economies, and creating jobs is often not recognised.
Mrs Joy Ogaji, APGC CEO, brought the conversation full circle, speaking about the association’s growth, its advocacy for transparency, and its commitment to a market-driven power sector.
Her message was that the anniversary isn’t just about looking back, but about demanding a better future.
Will this Attempt Stabilise the Power Sector?
The committee’s success will depend on more than good intentions. It will require political will, financial discipline, and collaboration across the electricity value chain.
GenCos have done their part; the government should match its commitment.
As Nigeria is expectant, the question remains: will this be the turning point that finally stabilises the power sector, or just another chapter in a long story of unmet promises?