The Association of Power Generation Companies (APGC) says the sector is under enormous financial and operational pressure, as it continually seeks the payment of N4 trillion in power debt.
This was part of the association’s message while celebrating the country’s 65th Independence Day. It felicitated with President Bola Tinubu, the government, and the good people of the Federal Republic of Nigeria.
“October 1st remains a defining moment for every Nigerian, a day to celebrate our freedom, reflect on our journey as a nation, and renew our hope for a brighter future. It is also a time to acknowledge the resilience and determination that has kept us united despite daunting socio-economic and political challenges,” it said.
“As we commemorate this milestone, we honour the sacrifices of our heroes past who fought for our liberty and we recommit ourselves to building a nation that truly delivers on the promise of independence.
“Nigeria has made significant progress over the decades, and the power sector continues to be at the heart of that journey. Electricity remains a critical enabler of economic growth, industrial development, and improved quality of life for citizens.
“We commend the Federal Government for initiatives aimed at strengthening the power sector, such as interventions that seek to address market liquidity, encourage private sector investment, and support greater access to electricity for households and businesses,” the group added.
“Yet, at 65, the reality is that the generation segment of the power value chain stands at a critical crossroads. GenCos are under enormous financial and operational pressure. Without urgent, coordinated, and sustained action, the sector risks further deterioration, a situation that would have far-reaching implications for national development, economic stability, and investor confidence,” it warned.
Recall that GenCos earlier this year threatened to shut down the country’s power generation over the N4 trillion debt owed by the federal government.
The GenCos lamented that the mounting liabilities were crippling their ability to operate and threatening a total shutdown of electricity generation in Nigeria.
The government has since promised to pay a partial aspect of the accrued debt, through budgetary allocation and promissory notes.