FG sets up gas-to-power committee after $1.3bn debt crisis

The Federal Government has inaugurated a Gas-to-Power Monitoring Committee to address persistent gas supply disruptions that have crippled electricity generation across the country.

Speaking at the inauguration in Abuja, Minister of Power Adebayo Adelabu described the initiative as a decisive step toward resolving one of the most critical constraints in the Nigerian Electricity Supply Industry, noting that gas-fired power plants account for about 80 per cent of Nigeria’s electricity generation capacity.

The committee’s inauguration follows a January crisis in which gas companies sharply reduced supply to power generation firms over an unpaid debt of $1.3 billion, triggering a drastic drop in power output to the national grid.

Adelabu said the committee was constituted following deliberations at the first quarter 2026 Ministerial Power Sector Working Group meeting, where key challenges — including infrastructure gaps, pipeline vandalism, mounting debts to gas producers, and weak coordination across the value chain — were identified.

The committee is mandated to monitor and drive resolution of critical bottlenecks, including repair of damaged gas pipelines, settlement of outstanding debts to suppliers, and other commercial and operational barriers limiting gas availability to power plants.

The minister charged members to go beyond routine oversight and provide proactive, data-driven recommendations, with clear milestones, regular reporting, and timely escalation of issues requiring government intervention.

The committee draws membership from the Ministry of Power, Nigerian Independent System Operator, Transmission Company of Nigeria, Association of Generation Companies, Niger Delta Power Holding Company, Nigerian Gas Association, and consumer advocacy groups.