Gencos: Power Sector Debt May Hit N17.1trn by 2033 Despite Ongoing Bond Issuance

• Say only 42.5% invoice settled monthly

•Call for cost reflective tariffs or funded subsidies

Emmanuel Addeh in Abuja

Nigeria’s electricity Generation Companies (Gencos) yesterday warned that the country’s power sector debt could balloon to about N17.11 trillion by 2033 despite the federal government’s ongoing Presidential Power Sector Debt Reduction Programme (PPSDRP), unless the structural causes of the market’s financial crisis are urgently addressed.

The warning was contained in a debt analysis and infographic released by the Association of Power Generation Companies (APGC), which argued that while the government’s bond programme is a significant intervention, it addresses only a fraction of the mounting liabilities in the Nigerian Electricity Supply Industry (NESI).