By Omeiza Ajayi

ABUJA: A civil society organization, the Hope Alive Initiative HAI, has commended President Bola Tinubu for approving the settlement of about N3 trillion owed to electricity companies, describing the decision as a bold step towards reviving Nigeria’s power sector.

In a statement issued Friday in Abuja, the group said the move demonstrates strong leadership and signals the administration’s commitment to stabilizing the electricity industry and driving economic growth.

HAI’s director of press and communications, Ernest Omo, said Nigeria’s power sector has for decades struggled under the weight of mounting debts, operational inefficiencies, and low investor confidence – factors that have limited its ability to deliver reliable electricity to homes and businesses.

The organization noted that clearing the debt burden would restore confidence among electricity generation and distribution companies, attract fresh investments and improve service delivery nationwide.

“It is a strategic intervention that removes a major obstacle to progress in the sector,” the statement said, adding that reliable electricity remains critical to industrialisation, job creation and innovation”, he said.

HAI expressed optimism that the development would reposition Nigeria’s energy sector to support broader economic ambitions and enhance competitiveness within Africa.

The group also urged Nigerians to view the debt settlement as a signal to both local and international investors that the country is serious about reforms and committed to creating a more transparent and viable electricity market.

It added that improved financial stability in the sector could unlock new partnerships and accelerate the modernisation of power infrastructure across the country.

While acknowledging the impact of poor electricity supply on productivity and quality of life, HAI said the government’s intervention could pave the way for a more stable power supply and reduced dependence on costly alternative energy sources.

The organization, however, called on electricity companies to reciprocate the government’s efforts by improving service delivery, while urging citizens to continue supporting the administration’s reform agenda.