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Presidency Clarifies Electricity Tariff Claims, Says Reports Are Misleading

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The Presidency has refuted claims of an imminent 65% increase in electricity tariffs, stating that media reports on the matter are misleading and a misrepresentation of remarks made by the Special Adviser to President Bola Tinubu on Energy, Olu Arowolo Verheijen.

Verheijen, who attended a World Bank-sponsored conference in Dar es Salaam, Tanzania, recently presented Nigeria’s $32 billion plan to boost electricity connections by 2030. Following the event, a Bloomberg report suggested that she had called for power prices to rise by about two-thirds to reflect the cost of supply.

The report triggered widespread concerns over an impending electricity tariff hike with several news outlets amplifying the claim.

However, Verheijen has now clarified that her comments were taken out of context and do not indicate a planned increase in electricity tariffs by the Federal Government.

“It has become necessary to clarify media reports suggesting an imminent 65 percent increase in electricity tariffs,” she said.

“This is a misrepresentation of what I actually said in a recent press interview. I highlighted the fact that, following the increase in Band A tariffs in 2024, current tariffs now cover approximately 65 percent of the actual cost of supplying electricity, with the Federal Government continuing to subsidize the difference.”

The special adviser explained that the government remains committed to ensuring fair electricity pricing, improving power supply and reducing outages while protecting the most vulnerable Nigerians.

She reaffirmed that while reforms in the power sector are ongoing, any adjustments to electricity pricing would be carried out in a structured manner that balances affordability with the sustainability of the sector.

The clarification comes at a time when concerns over rising costs of living persist with recent increases in electricity and telecom tariffs drawing criticism from labor unions and consumer rights groups.

The government has maintained that its policies are geared toward stabilizing Nigeria’s energy sector, improving service delivery and ensuring that consumers receive value for the tariffs they pay.

As the administration pushes forward with its energy sector reforms, officials have urged stakeholders to seek accurate information and avoid speculation that could mislead the public.

Is the CEO and Founder of Investors King Limited. He is a seasoned foreign exchange research analyst and a published author on Yahoo Finance, Business Insider, Nasdaq, Entrepreneur.com, Investorplace, and other prominent platforms. With over two decades of experience in global financial markets, Olukoya is well-recognized in the industry.

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