85% Of Nigerians Still Enjoying Electricity Subsidy Despite Hike – FG

• FG states that 85% of Nigerians are still enjoying electricity subsidy.

• Minister of Information highlights disproportionate subsidy distribution.

• New Electricity Act strengthens governance structure of NERC, enables severe sanctions on distribution companies.

EKO HOT BLOG reports that despite the recent tariff hike announced by the Nigerian Electricity Regulatory Commission (NERC) for Band A customers, the Federal Government asserts that approximately 85% of Nigerians still benefit from electricity subsidies.

The NERC’s decision to increase tariffs for Band A consumers, from N68 to N225 per kilowatt-hour, has sparked ongoing reactions from the public.

This move, according to the regulator, eliminates subsidies for Band A consumers, who represent about 15% of the nation’s total power users.

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However, in a statement issued by his Special Assistant (Media), Rabiu Ibrahim, on Saturday, the Minister of Information and National Orientation, Mohammed Idris, said 85 per cent of the Nigerian population who fall under different categorisations of the new electricity supply regime still enjoy the subsidy.

According to the statement, the minister spoke as a guest of the popular Hausa audience participatory programme of Radio Nigeria Kaduna called “Hannu Da Yawa” in Kaduna on Saturday.

He said the disproportionate amount of electricity subsidy, approximately 40 per cent, was benefiting only about 15 per cent of the electricity consumer population, comprising affluent individuals and industrial clusters, who enjoy about 20 hours of electricity.

The statement read in part, “Minister of Information and National Orientation, Mohammed Idris, has said that the over N1tn that would be saved from the withdrawal of electricity subsidy will be reinvested in improving power supply and the provision of social services for the country.

“Idris emphasised that 85 per cent of the population who falls under the different categorisations of the new electricity supply regime still enjoys the subsidy.”

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The minister further stated that the new Electricity Act, signed by President Tinubu, had strengthened the governance structure of the Nigerian Electricity Regulatory Commission and empowered the agency to place severe sanctions on electricity distribution companies for infractions relating to billings and supply of electricity to consumers.

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