Nigeria to Face New Electricity Tariff Hikes, Says Government

Nigerians should prepare for fresh increases in electricity tariffs in the coming months, the Federal Government has said.  

Bloomberg reports that the announcement was made by President Bola Tinubu’s Special Adviser on Energy, Ms Olu Verheijen, during an interview at a World Bank-backed conference in Tanzania.  

At the event, Nigeria outlined a $32 billion initiative aimed at expanding electricity access by 2030. Of this sum, private investors are expected to contribute $15.5 billion, while the remainder will come from public funding, including support from the World Bank and the African Development Bank.  

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Ms Verheijen stated that electricity prices would need to rise by approximately two-thirds for many consumers in order to reflect the true cost of supply.  

She emphasised that while higher tariffs are necessary, subsidies will be required to shield lower-income consumers. The adjustments, she added, are critical to maintaining and improving the nation’s power infrastructure, as well as attracting much-needed private investment into electricity generation and transmission.