Court Orders Receivership of Ikeja Electric, Amid ₦2 Trillion Power Sector Crisis

By Diafa Doubra

Nigeria’s lingering power sector troubles deepened this week as a Federal High Court placed two major electricity firms Ikeja Electric and KEPCO Energy Resources under receivership. The decision follows mounting debts and a staggering ₦2 trillion shortfall in the industry, which experts say is crippling operations and stalling investments.

The case was brought by the Asset Management Corporation of Nigeria (AMCON), which accused the firms of failing to meet financial obligations despite years of government bailouts and interventions. The receivership means AMCON appointed managers will now take control of operations, a move officials hope will protect national power supply stability. However, industry stakeholders warn that without urgent reforms in tariff structure, revenue collection, and infrastructure, the takeover may only scratch the surface of the sector’s deep rooted problems.