New Year’s Gift? Anxiety As DisCos Mull Electricity Tariff Hike Nationwide Jan 1

Electricity Distribution Companies in Nigeria are planning a bitter New Year’s gift for Nigerians as indications have emerged that the DisCos are reportedly mulling a hike in electricity tariff nationwide with effect from January 1, 2024.

A source in one of the DisCos reportedly confirmed the development to DAILY TRUST under the condition of anonymity.

However, the Nigerian Electricity Regulatory Commission, NERC, Abuja Electricity Company are yet to react officially to this alleged planned hike.

It would be recalled that DisCos have been planning to increase their tariff but in November 2023, President Bola Ahmed Tinubu stopped the implementation of electricity tariff, insisting on a power sector subsidy.

Speaking on Tinubu’s directive on electricity tariff hike, Minister of Power, Adebayo Adelabu, said Adelabu said, “The power sector is an industry that is very sensitive to any leader.

“You cannot jump overnight and implement the cost-reflective tariff. I can tell you that till today, the government still subsidises power”.

NERC’s quarterly reports indicated that electricity subsidies gulped N204.59 billion in the third quarter of 2023 and N135.23 billion in Q2, which is substantially higher than the N36.02 billion in Q1 2023.