FG to Review Electricity Tariff for Bands B and C: What It Means for Consumers and Investors

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Electricity tariff triples as NERC approves new rates for elite customers

The Federal Government has unveiled plans to review Nigeria’s electricity tariff structure for consumers in Bands B and C, aiming to correct billing disparities and attract more investment into the power sector.

Minister of Power, Adebayo Adelabu, made the announcement on Thursday, February 27, during the presentation of the National Integrated Electricity Policy and Nigeria Integrated Resource Plan in Abuja.

No Automatic Tariff Hike

Clarifying concerns about a potential tariff increase, Adelabu stated:

“We will look at the tariff again. I am not saying that we’re going to increase the tariff before I am misquoted.”

Instead, the review seeks to enhance efficiency, ensure fair pricing, and create an investment-friendly power sector capable of revamping Nigeria’s ageing infrastructure.

DisCos Under Fire for Stalling Band A Migration

The minister also criticized electricity distribution companies (DisCos) for failing to invest in infrastructure, which has delayed the migration of more consumers to Band A—the category enjoying the highest level of power supply.

“The migration to Band A should have been faster, but we found out that the DisCos refuse to invest.”

A Fresh Push for Power Sector Reforms

The planned tariff review signals another major step in Nigeria’s electricity reform efforts, focusing on:
Better service delivery
Increased investments
Infrastructure rehabilitation

With consumers and investors watching closely, the coming months will reveal how this policy shift shapes the future of Nigeria’s power sector.