President Bola Ahmed Tinubu’s Special Adviser on Energy, Olu Verheijen, has clarified her statement on the imminent 65 percent electricity tariff hike in Nigeria.
Verheijen made this clarification in a statement on Monday , 3 February, 2025 through her official X account.
This comes after the presidential aide barely 24 hours ago hinted that Nigerians should expect a fresh electricity tariff hike within months.Her statement had sparked a reaction among Nigerians.
This comes as Nigerians still grapple with the April 2024 over 200 percent electricity tariff hike.
Meanwhile, Verheijen in a fresh statement clarified that the country’s current tariff covers about 65 percent of the actual cost of supplying electricity.
According to her, the federal government is still paying N200 billion on electricity subsidies. She, however said, 25 percent wealthiest Nigerians receive the biggest share of electricity subsidies.
“I would like to clarify media reports suggesting an imminent 65 percent increase in electricity tariffs.
“What I actually said: Following the increase in Band A tariffs, Current tariffs now cover about 65 percent of the actual cost of supplying electricity, with the Federal Government continuing to subsidize the difference.
“The Federal Government is committed to fair electricity pricing, protecting vulnerable Nigerians, and expanding access to reliable power.
“Right now, N200 billion per month is spent on electricity subsidies but the wealthiest 25 percent of Nigerians receive the biggest share. To address this, we are working towards transitioning to a targeted subsidy system that ensures that low-income households receive the most support.
“Additionally, we are commencing the nationwide rollout of 7 million prepaid meters, under the Presidential Metering Initiative, beginning this year. This will finally put an end to the practice of estimated billing, giving consumers confidence in what they are paying for and ensuring transparency in electricity charges.
“Beyond that, we’re lowering energy costs by removing VAT and Customs Duties on cleaner fuel alternatives like Compressed Natural Gas (CNG) and Liquefied Petroleum Gas (LPG)—offering Nigerians cheaper options for power.
“We understand the economic challenges facing Nigerians and remain committed to ensuring that power sector reforms deliver real benefits to Nigerian homes and businesses”, she stated.
