The Minister of Power, Sale Mamman, has assured Nigerians that there is no plan to hike electricity tariff.
Mamman said instead of a significant hike in electricity tariff, Nigerians should expect increased efficiency in the sector to reduce tariff, while managing headwinds from foreign exchange and inflation.
The minister gave the assurance in a statement in Abuja, which he personally signed.
The statement made clarification on the order by the Nigerian Electricity Regulatory Commission on April 26, 2021 titled “Notice of Minor and Extraordinary Review of Tariffs for Electricity Transmission and Distribution Companies” noting that it was a “routine procedure.”
He said the review being planned by the NERC was in accordance with Section 76 of the Electric Power Sector Reform Act of 2005.
Mamman said Section 76 of the Electric Power Sector Reform Act of 2005 provided clear guidelines for the periodic review of tariff based on market data and submissions from licensees.
Mamman said, “The tariff for customers on service bands D and E (customers being served less than an average of 12 hours of supply per day over a period of one month) remains subsidised in line with the policy direction of the Federal Government.”
The minister made the clarification amidst reports a possible major increase in the tariff payable by electricity consumers nationwide beginning from July this year.
Nigerians’ speculations of a likely hike in electricity tariff was fuelled by the NERC’s order issued days ago.
