Nigerians Face Increased Electricity Expenses as A Result of The Newly Introduced Tariff Plan
Following an announcement by the government’s regulatory body on Wednesday, Nigerians will experience an increase in electricity tariffs. The Nigerian Electricity Regulatory Commission (NERC) has enacted a tariff hike across the nation, as disclosed by Musiliu Oseni, the commission’s head, during a press conference in Abuja.
Oseni clarified that the tariff increase primarily affects local consumers, who represent 15 percent of the population but consume a disproportionate 40 percent of the generated electricity.
This adjustment is intended to alleviate the financial strain on the government, which currently provides significant subsidies. Oseni stated that these subsidies could reach as high as 1.6 trillion nairas (over $1.2 billion) for the year 2024.
The affected electricity consumers, who enjoy a minimum of 20 hours of electricity supply per day, will now face increased tariffs, the regulatory official said. This adjustment is part of the government’s efforts to streamline costs and optimise resource allocation in the electricity sector.
The announcement has elicited varied reactions from Nigerians, with some voicing concerns about the potential strain on household finances, especially given the current economic difficulties.
Nigeria has long struggled with electricity supply challenges, including insufficient generation capacity and distribution inefficiencies.
While the government aims to address these issues, the tariff hike represents a bold step in the ongoing efforts to reform the country’s energy sector, Oseni said.
