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Senate Rejects Planned Increase in Electricity Tariff

February 21, 2024 • 1 min read

The Senate has kicked against the plans by the Ministry of Power to increase electricity tariff.

The Senate also rejected plans to remove subsidy from electricity given the present hardship in the country.

The resolution of the Senate followed its consideration and approval of a motion moved by Senator Aminu Abbas (PDP, Adamawa Central) during plenary on the need to retain subsidy on electricity in the country for the foreseeable future.

Last week, the Minister of Power, Adebayo Adelabu, disclosed at a press conference in Abuja that Nigeria was not likely to sustain the current electricity subsidy.

He explained that the indebtedness of the country’s power sector to electricity generating companies and gas companies had risen to over N3 trillion.

He said, “Today, we owe a total of N1.3tn to the power generating companies, out of which 60 per cent is owed to gas suppliers. Today we have a legacy debt, before 2014, to the gas companies of $1.3bn; at today’s rate, that is close to N2 trillion.”

Senate spokesperson, Yemi Adraamodu, said it would not allow any hike in the price of electricity that might add to the woes of Nigerians.