• Privacy Policy
  • Terms
  • About us
  • Contact Us
  • Staff Email
Monday, June 2, 2025
  • Login
TheMattersPress
  • Home
  • News
  • Features
  • Thematterspress
  • Multimedia
    • Audio
    • Photo
    • Video
  • About us
  • Contact Us
No Result
View All Result
  • Home
  • News
  • Features
  • Thematterspress
  • Multimedia
    • Audio
    • Photo
    • Video
  • About us
  • Contact Us
No Result
View All Result
TheMattersPress
No Result
View All Result
Home Economy/Technology

Nigeria’s settlement of $2.2bn power debt gain of fuel subsidy removal, Forex unification

Power

The Matters Press by The Matters Press
May 21, 2024
Reading Time: 3 mins read
0
Strike puts Nigeria in darkness

Electricity distribution station

Nigeria’s prompt payment of the $2.2 billion (N3.3 trillion) power sector debt has been described as another milestone in the efficient deployment of the savings from the petroleum subsidy withdrawal.

RELATED POSTS

Senate’s stance on Nigeria’s Legislature-Executive Relationship, thrilling

Tinubu explains mission as he marks second year in office

Increasing oil rigs, a big score for Nigeria’s petroleum sector reforms

The Democratic Front (TDF), a national support group, said on Tuesday in Abuja that the payment of the accumulated debt by President Bola Tinubu was a step in the right direction which is also one of the gains of the foreign exchange market unification.

The Chairman of TDF, Alhaji Danjuma Muhammadu, said in a statement that the decision of President Tinubu would reinvigorate the power sector by aiding the electricity generation companies with the ability to meet all their financial obligations and also boost their capacity to generate adequate electricity supply for the country.

Prior to the coming onboard of the Tinubu administration, the power sector in Nigeria was bedevilled with multi-dimensional challenges ranging from dilapidated infrastructure, low productivity, maladministration and corruption to criminal acts of electricity theft and brazen vandalism

These negative trends in the power sector, grossly impeded the country’s ability to generate and distribute maximum power requirements for the stimulation of employment creation, development of domestic industrial base, as well for encouragement of economic growth and prosperity.

The negative effect of all these have been decades of dismally low Gross Domestic Product (GDP).

We, however, acknowledge with great pleasure the commitment and passion with which the President Bola Tinubu administration have approached the formidable challenges in Nigeria’s power sector since its inception.

The decentralization of the spatial slot for electricity distribution to accommodate smaller investors in the sector, and the devolution of electricity regulatory powers to allow for the establishment of state regulatory agencies that will oversight the activities of electricity investors at both State and Local government levels, are landmark decisions that will revolutionize the power sector for optimum performance and efficiency.

The three months ultimatum for core electricity investors to acquire the heavily indebted electricity distribution companies (DISCOS), issued recently by the government is, in our opinion, the best solution to the failure and incompetence of the DISCOS, which have held the nation to ransom since 2013.

The payment of 3.3 trillion Naira to clear the arrears of debt owed by the GENCOS is a confirmation of President Tinubu’s determination to revitalize the problematic power sector through massive capital investments, despite the multiple challenges confronting the economy.

For many years, the electricity generation companies have operated with financial difficulties in procuring gas for energy generation under successive administrations.

The poor supply of gas to the GENCOS has ensured that Nigerians continue to live under the agony of perpetual power outages that have paralysed social and economic lives and businesses in the country.

This timely intervention by President Tinubu in the power sector could not have been possible without the contribution of the twin policies that drive his administration’s economic reforms.

That is, withdrawal of petroleum subsidy and the unification of foreign exchange rate policy. This reality underscores the need for Nigerians to continue to embrace and support the reform policies of the federal government.

We are optimistic that the payment of the power sector debt by the President will disentangle the GENCOS from the indebtedness that have deprived them of access to gas supply for many years. For this singular reason,

TDF expects a significant improvement in their optimum production and services to the nation going forward.

We laud the efforts of President Bola Ahmed Tinubu in proffering viable solutions to the age long problems of the Nigerian power sector.

TDF is very confident that the President has approached the power sector challenges from a solid perspective that is devoid of rhetoric but anchored on effective policy deployment.

The presidential approval for the payment of 3.3 trillion naira debt in the power sector is a giant leap in the history of electricity provision in Nigeria.

We hereby encourage Mr. President to sustain the current tempo for capital investment in the sector so that his target of 20,000 megawatts of electricity in Nigeria can be achieved.

Tags: Power
ShareTweetPin
The Matters Press

The Matters Press

Related Posts

Senate probes $3.5b with NNPC
Economy/Technology

Senate’s stance on Nigeria’s Legislature-Executive Relationship, thrilling

May 30, 2025
Nigerians to own brand new vehicles, goods through new credit scheme initiative
Economy/Technology

Tinubu explains mission as he marks second year in office

May 29, 2025
Chevron, NNPC secure $1.4bn for drilling project
Economy/Technology

Increasing oil rigs, a big score for Nigeria’s petroleum sector reforms

May 26, 2025
Group hails Presidential Council initiative, welcomes President Tinubu’s N2tn stabilisation package
Economy/Technology

Pope’s invitation to Tinubu reflects Nigeria’s relevance in global affairs -TMSG

May 24, 2025
Tinubu steering Nigeria away from Venezuela-like tragedy – IMPI
Economy/Technology

Tinubu espouses Nigeria’s unity, diversity at Pope Leo’s inauguration

May 22, 2025
Eulogising Africa’s efforts in midwifing a Covid-19 vaccine
Economy/Technology

Nigeria’s ongoing health reform gets global endorsement with Pate’s honour by Time Magazine

May 21, 2025
Next Post
CODE tracks 47 projects worth $2.8m in Kaduna

Tinubu steadily modernizing Nigeria's infrastructure with multiple legacy projects -TSF

Africa needs partnership to boost blue economy – Tinubu

Group hails Nigeria's President, APC Chair, Over Institute

Recommended Stories

Trans-boundary investment in Africa tops ECA’s call

Trans-boundary investment in Africa tops ECA’s call

December 3, 2018
$2.7b Ibom Deep Seaport ready soon

Dredging key for Onitsha River Port concession benefits – Shippers

February 8, 2022
Food shortage: Nigeria bans foreigners from direct purchase of produce from farmers

Our food are perishing, FCT traders cry out

February 13, 2023

Popular Stories

  • Rising prices of goods cause protests in Morocco

    Rising prices of goods cause protests in Morocco

    0 shares
    Share 0 Tweet 0
  • NLNG not responsible for gas supply shortfall, price hike

    0 shares
    Share 0 Tweet 0
  • NCC sets fresh operational fees, spectrum prices for telecom operators

    0 shares
    Share 0 Tweet 0
  • Hoarding causes hike in prices of grains

    0 shares
    Share 0 Tweet 0
  • Prices of Petrol, diesel increase in November

    0 shares
    Share 0 Tweet 0
TheMattersPress

We bring you the best news update in Nigeria

LEARN MORE »

Recent Posts

  • Senate’s stance on Nigeria’s Legislature-Executive Relationship, thrilling
  • Tinubu explains mission as he marks second year in office
  • Increasing oil rigs, a big score for Nigeria’s petroleum sector reforms

Categories

  • Agriculture
  • Economy/Technology
  • Energy
  • Entertainment/sports
  • Features
  • Foreign
  • Multimedia
  • Natural Resources
  • News
  • Oil and Gas
  • Photo
  • Politics
  • Security
  • Thematterspress
  • Uncategorized
  • Video

© 2025 Domo Tech World - Powered by Thematterspress.

No Result
View All Result
  • Home
  • News
  • Features
  • Thematterspress
  • Multimedia
    • Audio
    • Photo
    • Video
  • About us
  • Contact Us

© 2025 Domo Tech World - Powered by Thematterspress.

Welcome Back!

Login to your account below

Forgotten Password?

Retrieve your password

Please enter your username or email address to reset your password.

Log In
Call Us