Federal Government Settles ₦18.96 Billion PHCN Pension Arrears

The Federal Government has finalized the payment of ₦18.96 billion in Back-End Computation (BEC) arrears to eligible pensioners of the defunct Power Holding Company of Nigeria (PHCN) under the Defined Benefit Scheme (DBS). Taiwo Oyedele, the Minister of Finance and Coordinating Minister of the Economy, announced that the latest payment of ₦9,476,313,375.74 represents the outstanding 50 percent balance of the BEC arrears, disbursed by the Pension Transitional Arrangement Directorate (PTAD) to 3,958 eligible pensioners.

The first tranche of ₦9,481,886,576.53 was paid in June 2026 to 3,959 eligible pensioners. The total disbursed amount now stands at ₦18,958,199,952.27, with a noted difference of ₦5,573,200.79 due to the death of one pensioner.

Oyedele emphasized the government's commitment to addressing inherited pension liabilities and ensuring that verified entitlements are settled. The completion of these payments is expected to provide relief to affected pensioners and their families.

The Federal Ministry of Finance commended PTAD, led by Executive Secretary Tolu Odunaya, for effectively coordinating the payment process.