Minister of Power, Adebayo Adelabu, has issued a serious warning to Nigerians, to either accept the hike in electricity tarrif or faces a total blackout within the next three months. 

During a Senate Committee on Power hearing, Adelabu emphasized that the sector is on the brink of collapse. He stated, “If we don’t increase tariffs, the entire sector will be grounded. In the next three months, the entire country will be in darkness.”

The minister emphasized the need to increase tariffs to attract investors and improve infrastructure. He estimated that $10 billion is required annually for the next decade to revive the power sector. However, with limited government resources, he asserted that commercial pricing is essential.

 

Adelabu explained that the government’s inability to pay outstanding subsidies of N2.9 trillion has hindered the sector’s sustainability. He urged lawmakers to support measures to pay debts owed to operators along the generation, transmission, and distribution chain.

Despite the minister’s plea, the Senate Committee expressed concerns about the impact on suffering Nigerians. Senators called for alternative solutions and palliative measures.

Committee Chairman, Senator Enyinnaya Abaribe, highlighted the need for a comprehensive solution that addresses both the liquidity crisis and the welfare of citizens. He also criticized the non-appearance of a company, ZIGLAKS, which allegedly received N32 billion in 20 years to provide prepaid meters but failed to fulfill its obligations.

Other stakeholders present at the hearing included the Nigerian Electricity Regulatory Commission (NERC), Manufacturers Association of Nigeria (MAN), Association of Power Generation (Gencos), and Electricity Distribution Companies (DisCos).