Nigeria risks fresh nationwide blackouts as gas suppliers slash deliveries to power plants over an estimated N5.6 trillion debt owed to generation companies (GenCos).
Dr. Joy Ogaji, head of the Association of Power Generation Companies, confirmed the cutbacks on Thursday, warning that the electricity market could “grind to a halt” if the crisis persists.
The warning follows a grid collapse two days ago that plunged the country into darkness, with only about 4,000 megawatts since restored. Many plants remain below capacity due to weak gas supply.
Ogaji said debts have ballooned by N1.6 trillion in the first eight months of 2025 alone. She noted that 60% of GenCos’ revenues go to gas producers, who are now reducing supply and prioritising prompt-paying clients.
President Bola Tinubu had in July acknowledged a N4 trillion liability and promised a bond programme to ease the crisis, but Ogaji lamented that “almost two months after that meeting, there has been no follow-up.”
Industry operators warn that without urgent intervention, machine maintenance, spare parts procurement, and payments to other creditors could stall, deepening the country’s power woes.
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