The Federal Government has finalized implementation frameworks for a ₦4 trillion government-backed bond to clear verified arrears owed to power Generation Companies (GenCos) and gas suppliers. This was disclosed by Mrs. Olu Verheijen, Special Adviser to the President on Energy, via a statement shared on X (formerly Twitter) on Tuesday in Abuja.
Approved by President Bola Tinubu and endorsed by the Federal Executive Council (FEC) in August 2025, the bond issuance aims to address a decade-long liquidity crisis that has undermined power generation and grid reliability. The framework was agreed upon during a high-level meeting between federal officials and GenCo executives.
Tony Elumelu of Transcorp Power and Kola Adesina of Sahara Group lauded the move, describing it as “a bold and transformative step” toward restoring sector confidence. According to Verheijen, the intervention will also close metering gaps, align tariffs, and attract private capital, signaling a major shift from crisis management to sustainable energy delivery.
