As Nigeria marked its 65th Independence anniversary, electricity generation companies (GenCos) have raised fresh concerns over the state of the nation’s power sector, warning that the industry is on the brink of collapse without urgent government intervention. In a statement commemorating the milestone, the operators stressed that the persistent challenges crippling electricity supply demand a bold rescue plan if Nigeria is to achieve its long-desired energy security and economic growth.
The GenCos highlighted chronic liquidity shortages, mounting debts, and operational inefficiencies as major obstacles hindering the industry’s ability to function optimally. They lamented that despite huge investments and reforms in the sector, power generation has remained far below the country’s demand, leaving millions of Nigerians and businesses in darkness while stifling economic development.
According to the companies, the government must urgently address payment defaults within the value chain, which have left generation firms unable to meet their obligations to gas suppliers, creditors, and other stakeholders. They argued that the current cycle of debt and underfunding has made it nearly impossible for the industry to invest in infrastructure upgrades and expand capacity to meet the nation’s growing energy needs.
The operators also pointed to Nigeria’s over-reliance on thermal power plants amid inadequate gas supply as another critical factor undermining consistent generation. They called for diversification of the energy mix through greater investments in renewables such as solar, hydro, and wind, which could provide long-term stability and reduce dependence on fossil fuels.
Furthermore, the GenCos emphasized the need for government-backed reforms that would create a more transparent, investor-friendly regulatory framework. They maintained that without clear policies, enforcement of market discipline, and protection of investments, the sector would continue to suffer setbacks that discourage both local and international investors.
Industry stakeholders argue that Nigeria cannot achieve meaningful industrialization or sustainable economic growth without reliable electricity. The GenCos therefore urged the Federal Government to treat power as a national emergency, insisting that only an urgent rescue plan, backed by strong political will, can salvage the sector from further decline.
They concluded by reiterating their commitment to supporting the government’s efforts, but warned that without immediate action, the dream of a stable power supply for Nigeria’s 200 million citizens would remain elusive, even as the nation celebrates 65 years of independence.
