The Federal Government has fully settled the ₦18.96 billion pension arrears owed to retirees of the defunct Power Holding Company of Nigeria (PHCN), with the Pension Transitional Arrangement Directorate (PTAD) confirming the final disbursement of ₦9.48 billion to 3,958 eligible pensioners under the Defined Benefit Scheme. The payment, which represents the outstanding 50 per cent balance of arrears from the Back-End Computation (BEC), follows an earlier ₦9.48 billion disbursed in June 2026 to the same group of pensioners.
The settlement brings the total amount paid to ₦18,958,199,952.27, closing a long-standing liability that PTAD described as a significant milestone. The slight variation between the two tranches was due to the death of one pensioner after the first payment. The APC has repeatedly linked the arrears to former Vice President Atiku Abubakar, accusing him of presiding over the privatisation of government assets during the Obasanjo administration without settling pension obligations. “Somebody among my prospective opponents privatised government investment in public entities but forgot to pay the pensions,” Tinubu said. “I’m clearing the pensioners now, so clearing the mess they created”.
The Minister of Finance and Coordinating Minister of the Economy, Taiwo Oyedele, confirmed the payment, stating it demonstrates the government’s resolve to clear inherited pension liabilities and ensure verified entitlements are settled. He commended PTAD for diligently coordinating the exercise. PTAD Executive Secretary Tolulope Odunaiya reaffirmed the Directorate’s commitment to ensuring every eligible pensioner receives their legitimate entitlements, highlighting the administration’s focus on the welfare and dignity of DBS pensioners. The full settlement ends the BEC arrears covered by the exercise for the affected PHCN retirees.