New electricity tariffs will kick off in July, says Minister/ Sale Mamman

The Minister of Power, Sale Mamman, has revealed the new increment on electricity tariff would be implemented as from July.

The Minister disclosed this on Tuesday while speaking at the Investigative Public Hearing on Power Sector Recovery Plan and the impact of COVID-19 pandemic organised by the Senate Committee on Power.

According to him, the proposed increment to be delayed by three months earlier considering the hardship imposed by the coronavirus pandemic on Nigerians.

Mamman explained that the tariff review was initially billed to take off in April.

His words: “The impact of this means the subsidy being incurred in maintaining the current tariff level had to be maintained till July 2020 when the proposed tariff review will be implemented.

“The challenge we are currently facing in the development and expansion of our transmission line is budget and release of Federal Government’s commitment in the estimated sum of N32bn primarily for right of way acquisition and environmental impact mitigation.

 “The fund should be provided for in the 2020, 2021, and 2022 Appropriation of the Ministry of Power.

“Indeed, the prevalence of the pandemic has already reduced productivity due to the strategy adopted globally to contain it.

 “This by default affects the purchasing power of consumers and the demand for electricity in general.

 “The current situation in the Nigerian power sector is that a lot of capital investment is being made, most of which is dependent on donor funding, loans and budgetary allocations.

“For projects that we have already secured their funding, we do not expect any adverse effect.”

He noted that the ministry, is however, leaving no stone unturned to identify projects that would require counterpart funding in the face of dwindling national revenue so as to deliver within the projected timelines.

The minister added: “This explains our prayer for the distinguished senators to consider and approve additional funding for the execution of the various projects we are undertaking.”