Tuesday, February 18, 2025
spot_img

Nigerians To Expect Another Electricity Tariff Increase Within Months

Nigeria’s electricity tariff is expected to increase within months, according to Olu Verheijen, Special Adviser to President Bola Tinubu on energy.

This move aims to reflect the actual cost of supplying electricity, with prices needing to rise by about two-thirds (66%) for many customers.¹

Verheijen emphasized that higher electricity tariffs must be balanced with subsidies for less-affluent consumers, ensuring that the poor and vulnerable are protected. The goal is to transition to a cost-efficient and cost-reflective tariff, attracting private investors to the power generation and transmission sectors.

Nigeria’s power industry requires significant investment to meet its development goals. Currently, only 8 out of 14 gigawatts of installed power can be transmitted nationwide, with just 4-5 gigawatts delivered directly to homes and businesses. To address this, Nigeria presented a $32 billion plan at the World Bank-backed conference in Tanzania, aiming to expand electricity connections by 2030, with private investors expected to contribute $15.5 billion.

Related Articles

LEAVE A REPLY

Please enter your comment!
Please enter your name here

- Advertisement -

Latest Articles