No plan to increase electricity tariff, says Power Minister

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ABUJA, Nigeria (Agency Report) — The Minister of Power, Mr Joseph Tegbe, has assured Nigerians that the Federal Government has no immediate plan to increase electricity tariffs.

Tegbe gave the assurance in Abuja on Monday while briefing Power Correspondents on his first 100 days in office.

He said the administration of President Bola Tinubu was focused on stabilising the electricity value chain, restoring market discipline and strengthening governance in the power sector rather than increasing the financial burden on consumers.

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Tegbe, who assumed office on June 8, said his first 100 days had been devoted to diagnosing and stabilising the power sector.

“Upon assuming office, the diagnosis we undertook at the onset revealed constraints at every segment of the electricity value chain. Gas supply to power stations was limited by damaged pipelines and commercial terms that discouraged investment.

“Our generation fleet was heavily dependent on thermal plants, with ageing equipment, deferred maintenance, stalled projects and capacity unable to reach consumers.

“The sector diagnosis revealed payment of only 27 per cent of generation companies’ bills, undermining their ability to maintain plants and pay gas suppliers,” he said.

The minister said the transmission network was also affected by vandalised towers and lines, overstretched equipment and frequent tripping.

He said the distribution segment suffered aggregate technical, commercial and collection losses of between 30 per cent and 40 per cent, alongside inadequate metering, estimated billing, damaged assets and weak payment discipline.

Tegbe, however, listed some gains recorded between June 8 and September 16, including the restoration of the 375-megawatt Alaoji open-cycle power plant after three years offline.

He said substations at Apapa, Ijora, Alausa and Lekki in Lagos had also been upgraded, unlocking 672MW, while the installation of a new 300MVA transformer at Katampe, Abuja, had unlocked an additional 240MW.

According to the minister, electricity generation and transmission had risen above 5,000MW in recent weeks, compared with between 3,700MW and 4,700MW before June, with a peak of 5,330MW recorded in August and September.

He also disclosed that more than 300 containers of Transmission Company of Nigeria (TCN) equipment had been released from the ports.

Tegbe said two solar and mini-grid installations across 30 states had delivered 43.6MW and facilitated 41,735 new connections.

He added that 350,000 meters had been installed within 100 days, bringing the cumulative figure to 1,004,260 as of August, while 90,000 meters had been installed in military formations.

The minister further said an estimated N1.23 trillion had been raised towards settling the N3.3 trillion legacy debt owed by the power sector to generation companies.

Tegbe said the next six months would focus on deepening grid stabilisation along the Lagos, Enugu-Port Harcourt and Abuja-Kaduna-Kano corridors.

He said the government would also develop the transmission super grid, link electricity supply to productive clusters through bilateral agreements and prepare infrastructure for future demand, including power from the Mambilla hydro project.

The minister appealed to Nigerians to support the ongoing reforms and help protect power infrastructure from vandalism and theft.

“Our commitments remain clear: a disciplined approach, grid stability through strategic reform, visible improvements in electricity supply, and honest communication,” he said.

(NAN)