Peter Obi Challenges Tinubu Administration Over Repeat 3.3 Trillion Naira Power Sector Debt Approvals

Peter Obi criticizes the federal government's repeat approval of 3.3 trillion naira for power debts, questioning the transparency and execution of past funds.

By: AXL Media

Published: Apr 7, 2026, 10:12 AM EDT

Source: Information for this report was sourced from Guardian Newspapers

A Pattern of Repeated Financial Approvals

Peter Obi has publicly criticized the federal government’s recent authorization of 3.3 trillion naira intended to clear legacy debts within the power industry. The former governor noted that this latest move appears to be a repetition of past measures that have failed to yield visible results for the national grid. According to Obi, the administration had already announced a 3.3 trillion naira package in May 2024, followed by a 4 trillion naira bond in July 2025, both aimed at resolving liabilities owed to gas suppliers and generation companies.

Questions Regarding Execution and Implementation

The lack of clarity surrounding previous financial commitments prompted Obi to ask whether prior approvals were merely public announcements lacking actual execution. He pointed out that the debts in question were accumulated between 2015 and 2025 across multiple administrations, yet the cycle of "final" payments continues without resolution. Obi suggested that if previous funds had been properly utilized, the current intervention might not be necessary, calling for a sincere reflection on the government’s fiscal discipline.

The Persistence of the Liquidity Crisis

Despite the billions already purportedly funneled into the sector, the current state of electricity supply remains a point of contention. Obi referenced campaign promises made by President Bola Tinubu regarding the improvement of the power sector, arguing that current conditions show no significant progress has been made. He raised concerns about the structure of these debts, specifically how much of the liability was caused by the inefficiencies of private operators versus legitimate operational costs.