FG rules out immediate electricity tariff hike, says metering is the priority
By Aboki Forex —
The Federal Government has ruled out any immediate increase in electricity tariffs, saying its focus is on improving power supply and expanding metering across the country.
Minister of Power Joseph Olasunkanmi Tegbe announced the position on Thursday, September 17, after commissioning a 3MW captive solar hybrid power project at Yakubu Gowon University, formerly the University of Abuja.
Tegbe said: "There are no immediate plans to increase electricity tariffs. Our goal is to build a commercially viable power sector while protecting vulnerable consumers."
The clarification comes amid growing public concern over electricity subsidies and speculation that the government might introduce another round of tariff increases as part of its power sector reforms. Tegbe said those reforms are instead being directed at improving supply, tightening efficiency and strengthening accountability across the electricity value chain.
Solar plant to cut diesel reliance at Yakubu Gowon University
The facility commissioned at Yakubu Gowon University was implemented by the Rural Electrification Agency under Phase II of the Energising Education Programme.
It comprises a 3.3MWp solar photovoltaic installation capable of delivering 3MW of AC power, backed by a 2MWh battery storage system. A dedicated grid connection will supply electricity when solar generation is insufficient.
The project is expected to significantly reduce the university's reliance on diesel generators, providing a more stable power source for its roughly 58,726 students.
As part of the installation, 388 solar-powered street lights were fitted across the campus to improve security and visibility for students and staff after dark.
Universal metering takes centre stage
Tegbe said the ministry was scaling up efforts to achieve universal metering nationwide.
He said widespread metering would ensure that consumers are billed only for what they actually use, addressing longstanding complaints about estimated billing. The minister added that greater metering coverage would also improve transparency between electricity providers and their customers.
The Federal Government continues to work on broader structural and financial reforms within Nigeria's electricity industry, though subsidy-related decisions remain under consideration.
What this means for consumers
For now, households and businesses can expect no fresh tariff increase, even as subsidy questions stay open. The bigger test will be metering. Until coverage improves, estimated billing remains the main source of dispute between consumers and distribution companies.
Some distributors are already moving on payment flexibility. Ikeja Electric has introduced a buy-now-pay-later electricity scheme that allows eligible customers to receive up to N20,000 worth of electricity units on credit before settling the cost later.
The distribution company announced the offering, called Energy Advance, through an official notice to customers, describing it as a way to prevent unexpected power interruptions when units run out at difficult moments. Under the scheme, qualifying Ikeja Electric customers can draw electricity units immediately.