Power Sector Betrayed: Government Pays Peanuts While Darkness Swallows Nigeria

In what can be described as a shocking failure and outright negligence, the Federal Government has once again abandoned Nigeria’s already fragile electricity sector, paying a disgraceful N76.95 billion — barely four percent — out of the staggering N1.928 trillion subsidy required in 2025.

This is not just incompetence; it is a betrayal of millions of Nigerians who continue to suffer in darkness while leaders fail to act.

Despite allocating N958 billion for electricity subsidies in the 2025 budget, the government released a laughable N76.95 billion, leaving a crushing debt burden of about N1.85 trillion hanging over the sector. The numbers are not just embarrassing — they are a clear indication of a system on the verge of collapse.

Data from the Nigerian Electricity Regulatory Commission paints an even more disturbing picture. Subsidy obligations stood at N536.40 billion in the first quarter of 2025, dipped slightly to N514.36 billion in the second quarter, fell to N458.76 billion in the third quarter, and settled at N418.79 billion by the end of the year. Yet, despite these massive figures, the government’s response has been painfully inadequate.

If anyone thought things would improve in 2026, they were wrong. January alone recorded a subsidy requirement of N126.48 billion — a clear sign that the crisis is not just lingering, but worsening at an alarming rate.

Industry experts have not held back in their criticism. The government’s refusal — or inability — to meet its financial obligations has pushed power generation companies to the brink. These GenCos can no longer pay gas suppliers, the very lifeline of electricity production. In response, gas companies have predictably cut supply, triggering a dangerous drop in power generation across the country.

The consequences are already being felt nationwide: worsening blackouts, crippled businesses, and a population forced to endure unbearable heat and declining productivity.

At the heart of this mess is also the chronic underfunding of the Nigerian Bulk Electricity Trading Plc, the central player meant to stabilise the market. Instead of strengthening the system, the government has left it to decay.

Former Managing Director of the Niger Delta Power Holding Company, Mr. Chiedu Ugbo, rightly condemned the ongoing confusion and public disputes over debt figures, calling them a distraction Nigerians can no longer afford.

At a time when citizens are battling extreme weather, rising costs, and economic hardship, what Nigerians need is decisive leadership — not excuses, not finger-pointing, and certainly not silence.

This is no longer just a power sector issue. It is a national emergency fueled by poor leadership, broken promises, and a shocking disregard for the suffering of the people. Nigerians deserve answers — and more importantly, they deserve light.