The minister of Power Bayo Adelabu has reiterated his stance that the federal government cannot continue to sustain electricity subsidy, while drawing parallels with neighboring nations who he says pay more for power.
The minister disclosed this at a meeting with stakeholders in the power sector during his visit to the corporate headquarters of Ikeja Electric in Lagos State on Thursday.
He lamented the burden on the federal government and the necessity to begin full payment of higher tariffs by Nigerians.
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He noted in particular that poorer neighbouring countries like Mali, Togo, and Guinea pay much more than Nigerian citizens do.
The minister added that the subsidy would eventually be removed but that Nigerians would be willing to pay more as long as stable power supply was guaranteed.
“I believe a lot of people will be ready to pay for electricity, whether at the current tariff or an increased tariff, because ultimately, we are going to migrate to the full cost-reflective tariff,” the minister said. “Over the next three years, we should migrate. The government cannot continue to subsidise the cost of electricity.”
“Guinea, Togo, Mali, Ivory Coast, and all the neighbouring countries that we have that are supposed to be poorer than Nigeria; they pay more than double what we pay here. I believe that our people will be ready once they are sure of reliable and consistent supply,” Mr Adelabu said.
Adelabu’s agenda for removal of electricity subsidy has rubbed many the wrong way due to the ongoing economic challenges being faced by Nigerians including an increasing inflation rate as announced recently by the NBS.
