Major Blackout Looms As Gas Suppliers Threaten Shutdown Over ₦3.3 Trillion Debt

Nigerians may experience worsening electricity supply in the coming weeks as power generation companies have raised an alarm over a looming disruption in gas supply due to huge unpaid debts.

Naija News reports that the Chief Executive Officer of the Association of Power Generation Companies, Dr Joy Ogaji, disclosed that gas suppliers have threatened to halt supply unless part of the outstanding ₦ 3.3 trillion debt owed to them is settled.

Ogaji made this known during an interview on Fresh FM, where she explained that the ongoing power outages across the country were largely linked to the mounting financial obligations within the electricity value chain.

According to Ogaji, Nigeria’s electricity generation is currently under severe strain because thermal power plants, which rely heavily on gas supply, are struggling to obtain enough fuel to operate.

She explained that the national grid was only able to generate about 3,334 megawatts of electricity as of Wednesday, largely due to insufficient gas supply.

The power sector in Nigeria depends predominantly on gas-fired plants, and any disruption in gas availability directly affects the amount of electricity supplied to the national grid.

“Gas is not available because the gas suppliers have told us that if we need gas, we need to put money on the ground to get gas in the pipe. We owe them a lot of money,” Ogaji said.

Ogaji also disclosed that the Federal Government’s total debt to power generation companies had risen significantly, reaching ₦6.8 trillion as of February 2026.

She explained that the debt had been accumulating for years, with the financial gap widening due to monthly shortfalls in payments.

“From 2015 to December 2024, the debt profile grew to ₦4tn. In each month of 2025, there is a shortfall of ₦200bn, so if you calculate ₦200bn times 12, that is ₦2.4tn, making the whole debt ₦6.4tn after December 2025,” she said.

She added that the debt continued to rise this year.

“We’re already in March 2026. The debt grew to ₦6.6tn in January and ₦6.8tn in February.

“Yes, it is 120 per cent correct to say that the debt is the reason why we are in darkness,” Ogaji stated.

Responding to the development, the Minister of Power, Adebayo Adelabu, said the Federal Government was already working to address the problem.

Adelabu spoke through his spokesperson, Bolaji Tunji.

Tunji said the issue was being handled in collaboration with the Minister of State for Petroleum (Gas), Ekperikpe Ekpo.

“It is being handled jointly with the Minister of State for Petroleum (Gas),” Tunji said in a brief response.

Naija News reports that Nigeria has experienced persistent electricity shortages since December last year, leaving households and businesses struggling with an unstable power supply.

The situation has forced many Nigerians to depend more heavily on petrol and diesel-powered generators.

However, the cost of running generators has also increased sharply following the rise in fuel prices.

Market checks show that petrol now sells for over ₦1,100 per litre, while diesel has climbed to about ₦1,600 per litre.

The surge in fuel prices has been linked to rising global crude oil prices triggered by geopolitical tensions involving the United States, Israel and Iran.