The Federal Government has denied reports suggesting that it is preparing to increase electricity tariffs, insisting that President Bola Tinubu’s administration has no immediate plan to impose higher power costs on Nigerians despite its proposed phase-out of electricity subsidies from 2027.
The clarification followed growing public concern over comments by the Minister of Power, Adebayo Adelabu’s successor, Joseph Tegbe, regarding the government’s long-term reform agenda for the electricity sector.
Speaking through the Special Adviser to the President on Information and Strategy, Bayo Onanuga, the government stated that its immediate focus remains improving electricity supply, expanding nationwide metering and ensuring consumers are billed strictly for the electricity they consume.
“There is no policy by this administration to increase electricity tariffs beyond the current level. Our priority is not tariff increase in the immediate term,” the statement quoted Tegbe as saying.
According to the minister, the government’s reform agenda is designed to strengthen the nation’s fragile electricity sector through practical implementation rather than policies that place additional financial pressure on consumers.
He said the administration would continue to prioritise universal metering, improved service delivery and transparent billing while pursuing reforms aimed at restoring financial stability to Nigeria’s power market.
Tegbe also assured Nigerians that measures would remain in place to shield vulnerable and low-income electricity consumers even as the government gradually implements market reforms.
“The Federal Government will continue to examine additional mechanisms for protecting vulnerable consumers while simultaneously improving the financial sustainability of the market,” he said.
He stressed that the success of the ongoing reforms would not be measured by policy announcements but by tangible improvements in the quality of electricity supply experienced by households and businesses across the country.
“Resetting the sector is not about buzzwords. It is about execution, discipline, coordination and measurable outcomes. We will measure our success by the improvements experienced in the daily lives of Nigerians,” he said.
The minister further outlined the administration’s long-term vision of building an electricity sector capable of delivering reliable, competitive, sustainable and inclusive power to homes, industries and businesses nationwide.
“Our ambition is clear: reliable electricity that powers our homes, competitive electricity that powers our industries, sustainable electricity that attracts investment and inclusive electricity that reaches every Nigerian,” he stated.
The government’s reassurance comes only hours after Tegbe disclosed that the Tinubu administration intends to phase out electricity subsidies beginning in 2027 as part of wider reforms aimed at addressing the sector’s mounting debt and improving its long-term viability.
While the planned subsidy withdrawal has raised fears of future tariff increases, Tegbe maintained that the proposed policy would not translate into an immediate hike in electricity charges, insisting that no short-term tariff increase is under consideration.