Minister of Power, Adebayo Adelabu, explained during an appearance on Channels Television’s Politics on Thursday that the electricity tariff of N225 per kilowatt-hour (kWh) for Band A consumers could decrease if the exchange rate improves to below N1,000 to a dollar.
He highlighted that the current tariff is contingent on exchange rate fluctuations and other variables.
He defended the tariff adjustment by stating that even at the revised rate, electricity remains a cheaper alternative compared to the cost of using fuel.
Adelabu emphasized the administration’s commitment to transparency and dialogue with stakeholders in the power sector.
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Adelabu acknowledged that the challenges in the power sector have been longstanding, dating back over 50 years, and cautioned that resolving them would require sustained effort over time.
He expressed optimism about upgrading customers from lower bands to Band A as power generation capacity increases in the coming months.
The recent electricity tariff adjustment, announced by the Nigerian Electricity Regulatory Commission on April 3, particularly affecting Band A consumers, has sparked public outcry and criticism directed at the administration.
Despite this, Adelabu underscored the government’s determination to transform the power sector through ongoing initiatives and improvements.
