The Federal Government has quashed speculations of an imminent electricity tariff hike, with Minister of Power Joseph Tegbe reaffirming that the administration's immediate focus is on improving supply, expanding meter coverage, and ensuring Nigerians are billed only for what they consume.
Tegbe spoke on Friday at a media interactive session in Lagos, responding to public anxieties over the cost of electricity, especially after the last review that saw Band A customers pay higher rates. His remarks come as many Nigerians have demanded improved power supply before any further pricing adjustments.
No Tariff Increase Policy
“There is no policy by this administration to increase electricity tariffs beyond its current level,” Tegbe said. “Our priority is not tariff increase in the immediate term. Our priority is service improvement, universal metering and ensuring Nigerians pay only for the electricity they actually consume.”
The minister further stated that the federal government would continue to explore additional measures to protect vulnerable consumers while improving the financial sustainability of the Nigerian Electricity Supply Industry (NESI). “Indeed, the Federal Government will continue to examine additional mechanisms for protecting vulnerable consumers whilst simultaneously improving the financial sustainability of the market,” he added.
Transformation Agenda and Power Force Initiative
Tegbe disclosed that the Ministry of Power has developed a comprehensive sector transformation agenda aimed at boosting electricity generation, strengthening transmission infrastructure, enhancing distribution efficiency, and restoring market liquidity. According to him, several interventions have already commenced, including the inauguration of the Power Force.
The Power Force is a programme designed to engage 5,000 youths in electricity meter installation nationwide. The initiative is expected to accelerate universal metering while building technical capacity within the sector. The minister also noted that significant progress has been made in resolving long-standing meter procurement challenges.
He revealed that Nigeria has consistently generated over 5,000 megawatts of electricity during the past two weeks, attributing this to improved coordination across the power value chain. “Although much work remains, enhanced operational coordination, improved plant availability and better engagement across the value chain are beginning to produce measurable improvements,” Tegbe said.
Comprehensive Technical Audit of Transmission Network
In a move to address chronic grid failures, the federal government will undertake the first comprehensive technical audit of Nigeria's national transmission network. The audit aims to identify ageing assets, overloaded substations, weak transmission corridors, protection failures, and other operational vulnerabilities that hinder reliable electricity supply.
Tegbe explained that the findings would guide investment decisions, reduce system failures, and improve planning. The government also plans to strengthen critical transmission infrastructure, improve grid stability, and tackle long-standing liquidity challenges in the electricity market.
Additionally, the minister announced that a Power Sector Bond initiative is being advanced to clear legacy debts owed to generation companies, gas suppliers, and other market participants. This move is expected to restore confidence in the sector and improve the overall health of the electricity value chain.
Expected Impact and Timeline
Tegbe expressed optimism that the reforms would begin to deliver visible improvements in electricity availability within the next few months. He projected that Nigerians should experience a stronger grid, lower technical losses, expanded electricity access, and greater operational capacity over the next two to three years.
The government's stance offers some reassurance to citizens and businesses grappling with the cost of living, while underscoring the administration's commitment to service delivery and market sustainability.
