Electricity Tariffs: FG Breaks Silence on Possible Increase, Reveals Plan for 24-Hour Power Supply
- The federal government has ruled out plans to increase electricity tariffs and says it is committed to providing 24-hour power supply across Nigeria
- Power Minister Joseph Tegbe made the announcement at the groundbreaking ceremony for a 17.7MW interconnected mini-grid project in Ibadan, Oyo State
- The REA said the project would improve electricity reliability, reduce businesses’ reliance on expensive generators, attract investment and create jobs
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Legit.ng journalist Victor Enengedi has over a decade's experience covering energy, MSMEs, technology, banking and the economy.
The federal government has ruled out plans to increase electricity tariffs, saying its priority is to improve power supply and achieve round-the-clock electricity across Nigeria.
Joseph Tegbe, minister of power, gave the assurance on Thursday during the groundbreaking ceremony for a 17.7-megawatt (MW) interconnected mini-grid project in Ibadan, Oyo State.
Source: UGC
The project was organised by the Rural Electrification Agency (REA).
Tegbe said the government was focused on building a power sector that could provide reliable electricity without imposing higher tariffs on consumers.
“I want to say this clearly and without ambiguity: there is no plan to increase electricity tariffs. What we are planning is a power sector that works around the clock. Our commitment is 24/7 power,” he said.
The minister had given a similar assurance in July, stating that the federal government had no immediate plans to increase electricity tariffs.
FG targets reliable electricity supply
Tegbe said the 17.7MW mini-grid project reflects the government's commitment to increasing electricity generation, improving supply reliability and creating economic opportunities for Nigerians.
According to him, the administration is not only interested in expanding power infrastructure but also wants additional electricity capacity to benefit households, businesses, industries and other productive activities.
“Our objective is clear: to increase the quantum of electricity available to Nigerians, improve the reliability of supply and ensure that electricity becomes an enabler of productivity, investment and economic growth,” he said.
The minister added that projects such as the Ibadan mini-grid would help translate the government's electricity objectives into infrastructure that directly supports communities and businesses.
He noted that the initiative complements other federal government interventions aimed at strengthening electricity generation, transmission and distribution infrastructure nationwide.
REA highlights benefits of 17.7MW mini-grid
Abba Aliyu, managing director of the REA, said the agency was prioritising electricity projects capable of delivering significant economic benefits while encouraging private-sector investment and sustainable operating models.
Aliyu explained that the Ibadan project was not just about adding 17.7MW to Nigeria's electricity capacity but also about the economic activities the additional power could support.
“This groundbreaking is about more than 17.7 megawatts of new generation capacity. It is about what that capacity will enable,” he said.
He added that a more reliable electricity supply would allow businesses to operate for longer hours, reduce their dependence on expensive self-generation and improve productivity.
According to Aliyu, these benefits could attract fresh investments, create jobs and expand economic opportunities for residents and businesses.
FG expands distributed energy investments
The REA managing director said the Ibadan project forms part of a wider pipeline of investments being facilitated by the agency across Nigeria.
Source: UGC
He noted that distributed energy solutions were increasingly becoming important not only for expanding electricity access but also for improving supply reliability and supporting economic development.
Aliyu said the agency would continue to promote projects that use private-sector investment and sustainable operating arrangements to deliver electricity where it could generate the greatest economic impact.
Source: Legit.ng
