2025 Budget: 593 MDAs to Spend N41bn on Generator Fuel

The 2025 Nigerian federal budget reveals that 593 Ministries, Departments, and Agencies (MDAs) will collectively spend a staggering ₦41 billion on fuel for generators. This allocation has raised concerns regarding the country’s energy infrastructure and the ongoing reliance on costly alternative power sources despite efforts to address the nation’s power sector challenges.

The substantial budget for fuel highlights the persistent power supply issues faced by government agencies, with many MDAs unable to rely on the national grid for consistent electricity. Analysts have pointed out that this expenditure exacerbates the financial burdens on the government and hinders the efficient use of public funds, particularly in light of Nigeria’s fiscal challenges.

Experts have criticized the allocation, calling for a comprehensive strategy to reduce the dependence on generators, which are not only expensive but also contribute to environmental pollution. They argue that the focus should shift towards investing in sustainable energy solutions and improving the national power grid to ensure that government agencies can operate efficiently without relying on diesel or petrol-powered generators.

The ₦41 billion budgeted for fuel represents a substantial portion of the operational costs for these MDAs, and concerns are growing over the potential for mismanagement or inefficiencies in how funds are allocated and spent. Critics are urging the government to prioritize energy reforms, including the expansion of renewable energy sources, in order to reduce the long-term financial strain and environmental impact of generator usage.

While the government has pledged to address the nation’s power sector issues, the continued high reliance on generators underscores the urgency of comprehensive reforms to ensure consistent and affordable electricity access across the country.