FG set to review electricity tariffs for band B, C customers

The Federal Government has announced its intention to standardize electricity tariffs for Band B and C customers in order to rectify inequalities within the existing billing framework and to stimulate investment in the power sector. As stated by the Nigerian government, Band B customers receive between 17 to 18 hours of electricity supply and are charged N63 per kilowatt-hour.

Band A customers, who benefit from only two additional hours of supply, face a significantly higher rate of N209 per kilowatt-hour.

This information was disclosed by the Minister of Power, Adebayo Adelabu, during the public presentation of the National Integrated Electricity Policy and Nigeria Integrated Resource Plan held in Abuja on Thursday. Adelabu characterized the current billing structure as “unfair” and emphasized the need for a more equitable pricing model. He remarked, “We will review the tariff. I am not suggesting an increase in the tariff to avoid any misinterpretation.

Our goal is to assess the situation and enhance our modest progress from the previous year, ensuring not only the growth of the sector but also facilitating greater investment in the restoration of deteriorating infrastructure. The disparity between the tariffs for Band A and those for Bands B, C, D, and E is excessively large. We consider this inequitable and unjust, necessitating a degree of regularization.”