Success Nwogu 
The Federal Government has commenced the settlement of ₦185 billion in long-standing debts owed to natural gas producers, a move aimed at revitalising the gas industry and stabilising power generation.
The approval, endorsed by the National Economic Council (NEC) under Vice President Kashim Shettima, marks a significant intervention in Nigeria’s energy sector.
The debts, accumulated government obligations for past gas supplies have long strained cash flow, discouraged new investments, and restricted gas availability for power generation, contributing to electricity shortages.
Minister of State Petroleum Resources (Gas), Dr. Ekperikpe Ekpo, described the repayment as a “decisive step towards revitalising Nigeria’s gas sector and strengthening its power-generation capacity sustainably.”
He highlighted that clearing arrears will restore investor confidence, accelerate exploration and production, and ultimately increase gas supply to the power sector.
Ekpo added that improved gas availability will boost electricity generation, support industrialisation, create jobs, and enhance economic growth.
The initiative also aligns with the Decade of Gas programme, targeting over 12 billion cubic feet per day (bcf/d) of gas supply by 2030.
Coordinating Director of the Decade of Gas Secretariat, Mr. Ed Ubong, stated that the repayment signals the Federal Government’s commitment to address structural weaknesses, honour gas-to-power obligations, and encourage fresh investments across the sector.
