The federal government is now owing electricity Generation Companies (GenCos) and Distribution Companies (DisCos) over N4 trillion.
Minister of Power, Chief Adebayo Adelabu broke the news Today at a public presentation of the National Integrated Electricity Policy (NIEP) and Nigeria Integrated Resource Plan (NIRP) in Abuja.
He said that owing to the debt, there have been challenges in strengthening the power sector to deliver optimum service to consumers.
The minister giving a breakdown, said N2 trillion is owed to GenCos as legacy debt, while another N1.9 trillion is owed to them as part of the electricity subsidy for 2024, while DisCos are owed N450 billion for the 2024 electricity subsidy.
