The Minister of Power, Adebayo Adelabu has shared President Bola Tinubu’s views on circumstances that would enable electricity tariff hike.
Adelabu made the President’s stands on the tariff hike known at a press briefing in Abuja on Wednesday.
The minister remarked that electricity tariff has not been left to market forces, adding that to Tinubu, going down that road is conditional on improved power supply.
“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. Tariff should have been raised months back, but Mr President said until we are able to achieve regular and incremental power supply we can’t touch the tariff.
“So the there is a gap between the cost reflective tariff that we are supposed to charge and the allowed tariff. That huge gap the government is still handling it as subsidy. This affects liquidity in the system, investments and causes so many constraints,” he said.
