Friday, July 17, 2026

FG reverses electricity tariff hike, pending agreement with labour

Despite ordering a reversal of the hike, Mr. Mamman ironically doubled down on NERC’s statement on Tuesday which denied the increment.

• January 7, 2021
President Muhammadu Buhari
President Muhammadu Buhari

The Buhari administration has yet again reversed itself on the increment of electricity tariff which is brewing fufore between government and the masses.

Power minister Saleh Mamman directed the Nigerian Electricity Regulatory Commission (NERC) to inform all Electricity Distribution Companies (DISCOs) to revert to tariffs that were applicable in December 2020, a statement from his office signed by Aaron Artimas, his media aide, on Thursday in Abuja.

Mr. Mamman in the statement said that the reversal to the old tariff was to promote a constructive conclusion of the dialogue with the Labour Centres (through the Joint Ad-Hoc Committee).

“I have directed NERC to inform all DISCOs that they should revert to the tariffs that were applicable in December 2020 until the end of January 2021 when the FGN and Labour committee work will be concluded.

“This will allow for the outcome of all resolutions from the Committee to be implemented together,” he was quoted to have said.

The minister spoke against the backdrop of the report that electricity tariff had been increased by 50 per cent.

“I would like to affirm that these reports are inaccurate and false. It is unfortunate that these reports have led to confusion with the public.

“On the contrary, the government continues to fully subsidise 55 percent of on-grid consumers in bands D and E and maintain the lifeline tariff for the poor and underprivileged.

“Those citizens have experienced no changes to tariff rates from what they have paid historically, aside from the recent minor inflation and forex adjustment. Partial subsidies were also applied for bands A, B and C in October 2020,” he said.

Despite ordering a reversal of the hike, Mr. Mamman ironically doubled down on NERC’s statement on Tuesday which denied the increment and chided the media for “misinforming electricity consumers nationwide.”

The minister said that these measures were all aimed at cushioning the effects of the pandemic while providing more targeted interventions for citizens.

He said that the public was aware that the federal authorities and the Labour Centres had been engaged in positive discussions about the electricity sector through a Joint Ad-hoc Committee.

He said that the committee was led by Festus Keyamo, junior minister of Labour and Productivity and co-chaired by the junior minister of power, Goddy Jedy-Agba.

According to him, progress has been made in these deliberations which are set to be concluded at the end of January.

“Some of the achievements of this deliberation with Labour are the accelerated rollout of the National Mass Metering Plan and clamp downs on estimated billing.

“Improved monitoring of the Service Based Tariff and the reduction in tariff rates for bands A to C in October 2020 (that were funded by a creative use of taxes),” he said.

The minister stated that it should be cleared that the regulator must be allowed to perform its function without undue interference.

He said that the role of the Government was not to set tariffs, but to provide policy guidance and an enabling environment for the regulator to protect consumers and for investors to engage directly with consumers.

According to him, Bi-Annual Minor reviews to adjust factors such as inflation are part of the process for a sustainable and investable Nigeria Electricity Supply Industry (NESI)

He also stated that the regulator must be commended for implementing the subsisting regulations while putting in place extensive actions to minimise the adverse impact on end user tariffs.

“The administration is committed to creating a sustainable, growing and rules-based electricity market for the benefit of all Nigerians.

“The administration and the Ministry of Power will also continue to devise means to provide support for vulnerable Nigerians while ensuring we have a sustainable NESI,” he said.

We have recently deactivated our website's comment provider in favour of other channels of distribution and commentary. We encourage you to join the conversation on our stories via our Facebook, Twitter and other social media pages.

More from Peoples Gazette

farmers

Agriculture

FG tasks ECOWAS on leveraging financing strategies for agroecology

The federal government has urged stakeholders in the agriculture and finance sectors in the West Africa region to leverage financing strategies to enhance agroecology practices

Katsina State

Politics

Katsina youths pledge to deliver over 2 million votes to Atiku

“Katsina State is Atiku’s political base because it is his second home.”

United States President Donald Trump

Heading 4

Trump accuses China of interfering in 2020 election to help Biden win

Mr Trump said China meddled in the 2020 election and that Beijing helped former President Joe Biden win.

Agriculture

FG establishes mega farms in four states

He said NALDA targets establishing mega farm estates across the six geopolitical zones to address challenges affecting agricultural production and create modern farming communities.

Mi combat helicopter

World

Russian jailed 13 years for smuggling aircraft parts to Ukraine

The FSB said the man intended to deliver the spare parts to a key enterprise that maintains military aircraft and helicopters for the Ukrainian forces.

Governor Ahmed Ododo of Kogi [Photo Credit: Twitter]

States

Kogi School Abduction: We will never negotiate with criminals, Gov. Ododo says

“Let me reiterate that we will never negotiate with criminals. We will never pay ransom. We will rid Kogi of criminals,” Mr Ododo said.

Maj.-Gen. Adamu Laka

NationWide

Nigeria, UN, U.S. deepen anti-crime partnership with first national strategy

The national strategy is expected to be officially unveiled on August 17.

Xi Jinping

World

Chinese President Xi seeks global cooperation to build artificial intelligence governance system

Chinese President Xi Jinping urged nations to build a just and equitable global artificial intelligence governance system.