Electricity generation companies (Gencos) have raised concerns over the risk of a national blackout due to an overwhelming N5.2 trillion debt owed by the Federal Government.

Dr. Joy Ogaji, head of the Association of Power Generation Companies, said on Monday that the Gencos have remained committed to supplying power for years despite not being paid. However, she warned that their commitment can no longer sustain operations as the financial strain worsens.

According to her, the total debt includes N1.9 trillion carried over from 2015, N2 trillion from unpaid bills in 2024, and N1.2 trillion owed for power already supplied in the first half of 2025. Despite generating electricity every month with invoices averaging N250 billion, the payments have not been made.

Ogaji said the 2025 budget only set aside N900 billion for the power sector, which so far has not been backed by cash. She described the situation as one where electricity is consumed across the country, yet no clear payment plan or financial support has been provided to the companies keeping the system running.

She also warned against a proposed tariff cut by the Nigerian Electricity Regulatory Commission, saying the move is risky and based on unrealistic subsidy projections, which could worsen the financial crisis in the sector.

In response, the Minister of Power, Adebayo Adelabu, admitted the government is worried about the rising debt and said efforts are underway to pay off part of the money. However, no exact date or breakdown of payment has been shared.

The Gencos also noted that despite previous promises from the government in May — including talks of immediate payments and promissory notes to settle the debt — nothing has been fulfilled two months later.

With no real solution in sight, power companies say the system is nearing collapse, and unless urgent action is taken, Nigeria’s electricity supply could be seriously disrupted.