Precious Anga
Lagos — The Federal Government has assured Nigerians that there are no immediate plans to increase electricity tariffs, dismissing reports suggesting that consumers across various service bands would soon face higher power bills.
The clarification comes amid growing public concern over the cost of electricity and follows media reports interpreting recent remarks by the Special Adviser to the President on Power Infrastructure, Sadiq Wanka, as signalling another tariff review.
In a statement released on Saturday through his official X account, Wanka said his comments had been taken out of context, stressing that the Federal Government remains committed to shielding vulnerable electricity consumers from additional financial pressure.
“There is no planned tariff hike for any grid consumer across any service band. The government remains committed to protecting vulnerable households through continued tariff support,” he stated.
According to Wanka, the remarks that generated public debate were made during his presentation at the Asharami Square 3.0 conference held in Lagos on July 22, where discussions centred on investment opportunities in Nigeria’s electricity sector and ongoing reforms designed to attract private capital.
He explained that his presentation focused on how the Federal Government’s power sector reforms are creating new opportunities for investors across electricity generation, transmission and distribution, rather than announcing any immediate changes to electricity pricing.
“The Special Adviser’s comments were made during a presentation where he addressed investment opportunities in the power sector and how the Federal Government’s reform programme has opened new avenues for investors across the power value chain,” the statement noted.
Wanka reiterated that the government’s long-term electricity pricing framework remains anchored on the National Integrated Electricity Policy, NIEP, which was completed in December 2024 and approved by the Federal Executive Council in May 2025.
He explained that the policy supports a gradual transition towards cost-reflective electricity tariffs, a process that has already been implemented for Band A customers, who receive a minimum of 20 hours of electricity supply daily.
However, he emphasised that the policy does not translate into an immediate tariff increase for other categories of electricity consumers.
“In that context, he reaffirmed the tariff policy direction set out in the National Integrated Electricity Policy a long-standing, publicly available policy of gradually transitioning to cost-reflective tariffs already implemented for Band A electricity consumers,” the statement added.
The presidential aide stressed that electricity subsidies would remain in place for consumers outside Band A, contrary to widespread speculation.
“For all other consumer bands, he was clear that there is no plan to remove subsidies. Rather, the Government is exploring how to deliver value and support more efficiently,” the statement said.
As part of that strategy, Wanka highlighted the proposed Power Consumer Assistance Fund, PCAF, established under the Electricity Act 2023, describing it as a more transparent mechanism for delivering targeted subsidies to vulnerable electricity users.
According to him, the fund is expected to channel government support directly into consumers’ electricity accounts or through identity-linked payment platforms, ensuring that subsidies reach intended beneficiaries while improving accountability and boosting investor confidence in the power sector.
The Federal Government believes the approach will replace broad, untargeted subsidy arrangements with a more efficient system that protects low-income households without undermining ongoing reforms aimed at improving the financial sustainability of the electricity market.
Nigeria’s power sector has undergone significant reforms in recent years following the enactment of the Electricity Act 2023, which decentralised electricity regulation and opened the sector to greater private sector participation. The legislation also empowered states to establish and regulate their own electricity markets, creating new opportunities for investment in generation, transmission and distribution infrastructure.
Despite the reforms, electricity affordability remains a major concern for households and businesses, particularly following the implementation of cost-reflective tariffs for Band A customers in 2024.
The latest assurance from the Presidency is therefore expected to calm concerns over another round of tariff adjustments, especially as millions of Nigerians continue to grapple with rising living costs and persistent power supply challenges.
Wanka also acknowledged the role of the media in communicating government policies, urging journalists to continue providing accurate and balanced reporting on reforms affecting the electricity sector.
“The administration of President Bola Tinubu recognises the vital role journalists play in policy communication,” he said, adding that the government would continue to rely on the media to ensure Nigerians receive factual information on its reform programmes.
The reassurance comes as the Federal Government continues efforts to improve electricity supply, attract fresh investment into the power sector and expand access to reliable electricity while maintaining targeted support for consumers most affected by economic pressures.
