Peter Obi, former Governor of Anambra State, has challenged the administration of President Bola Tinubu over what he described as repeated approval of funds to settle debts in Nigeria’s power sector, raising concerns about transparency and execution.
Obi made his remarks on X, formerly Twitter, on Tuesday, April 7, 2026, days after the Federal Government announced an approval of N3.3 trillion for debt settlement in the power sector.
“In the past few days, the President has reportedly approved N3.3 trillion as a ‘full and final’ payment for debts in the power sector. Yet, this is not the first time such approvals have been made,” Obi stated.
The former presidential candidate of the Labour Party hinted at other announcements made for similar debt settlements in the same sector.
“On May 17, 2024, N3.3 trillion was approved for the same purpose. On July 25, 2024, another N4 trillion bond was approved to settle similar debts. There have also been other approvals in between, all targeted at addressing the same power sector liabilities. This raises a fundamental question: were the previous approvals mere announcements without execution?” he asked.
Obi added that Nigeria must move beyond recycled announcements and confront the power sector crisis with sincerity, transparency, and decisive reforms.
“Is the N3.3 trillion approved on April 6, 2026, the same as the N3.3 trillion approved in May 2024, and how does it relate to the N4 trillion bond approved in July 2024?” he questioned.
On April 5, Nairametrics reported that President Tinubu approved a N3.3 trillion payment plan to settle longstanding debts in Nigeria’s power sector under the Presidential Power Sector Financial Reforms Programme.
Further checks revealed that there have been similar approvals to clear debts in the sector, including the N6.8 trillion owed to power generation companies (GenCos), which has repeatedly affected gas supply and electricity generation.
For instance, in October 2025, the Federal Government announced it had concluded implementation frameworks for a N4 trillion government-backed bond aimed at settling verified arrears owed to GenCos and gas suppliers.
Earlier in July 2025, there were also reports of an approved payment plan to clear outstanding debts estimated at N3.3 trillion.
