By Idris Muhammed Abdullahi
The recent alarm over Nigeria’s power generation companies (GenCos) threatening system collapse over an alleged N4 trillion debt should not only concern us—it should compel a deeper investigation.
Nigerians deserve clarity. Who exactly owes this debt? How was it accumulated? And why should the average citizen—who pays exorbitant electricity bills, buys their own meters, and even installs community transformers—be the one to bear this burden?
It is misleading for GenCos and DisCos (Distribution Companies) to constantly present themselves as victims in a power sector they have profited from while millions remain in darkness. The facts are stark:
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Nigerians pay some of the highest electricity tariffs in Africa, yet suffer from erratic and unreliable power supply.
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Consumers are forced to purchase their own prepaid meters and transformers—items that legally fall under the responsibility of the DisCos as part of their operational licenses.
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The sector was privatized under opaque and controversial conditions, allowing GenCos and DisCos to snap up national assets at giveaway prices. These same companies have since received multiple government bailouts, funded by taxpayers.
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Now, they cry foul—demanding debt repayment from the same government and citizens who have been bailing them out for years.
Let’s ask the tough but necessary questions:
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Who are the real debtors? If the N4 trillion includes debts from government MDAs, the breakdown must be made public. Nigerians have a right to know how much is owed, by whom, and for what.
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Where is the money collected from customers going? Millions of Nigerians pay for prepaid electricity—where are those funds being channeled?
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What were the conditions of the privatization deal, and have the GenCos and DisCos met them?
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Why are citizens billed for electricity they never receive, especially through estimated billing, a practice long discredited but still widespread?
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Why is there no accountability for decades of mismanagement and poor service delivery?
President Bola Ahmed Tinubu’s planned engagement with GenCo executives is a step forward—but it must not become another appeasement session without consequence. If the government is to repay any debt, it must be on the condition of strict performance benchmarks, enforceable service delivery targets, and a clear reform timeline.
Otherwise, we’re not solving a crisis—we’re simply replacing the old fuel subsidy cabal with a new one: the electricity cartel.
Nigerians deserve more than excuses. We demand transparency. We demand accountability. And most importantly, we demand power—real, reliable, and affordable power.
Idris Muhammed Abdullahi writes from Abuja.
