Senate Rejects Electricity Tariff Hike, Launches Probe into N2tn Subsidy

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The Senate has taken a stance against the proposed electricity tariff hikes by Distribution companies (DisCos), alongside rejecting plans to remove electricity subsidies amidst prevailing economic hardships in Nigeria.

In a plenary session, the Senate called on the government to halt the idea of increasing electricity tariffs and directed the Committee on Power to investigate the N2 trillion required for electricity subsidy payments, outstanding debts in the sector, and the current state of metering across the country.

The decision was reached following a motion presented by Senator Aminu Abbas (PDP, Adamawa Central), advocating for the retention of electricity subsidies in the country.

The Minister of Power, Adebayo Adelabu, had recently disclosed concerns over the sustainability of electricity subsidy payments, citing significant indebtedness of the country’s power sector to generating and gas companies.

Speaking on behalf of the Senate, Senator Abbas expressed dismay over plans to hike electricity tariffs amidst growing economic challenges, widespread poverty, and high living costs in the country.

He highlighted concerns over arbitrary energy charges imposed on unmetered customers, emphasizing the need for accountability and transparency in the sector. Additionally, he referenced previous directives and initiatives aimed at addressing metering gaps and ending estimated billing, expressing disappointment over continued violations by DisCos.

The Senate’s resolution reflects its commitment to protecting the interests of Nigerian citizens, particularly amid prevailing economic difficulties. Senators Aminu Tambuwal and Orji Kalu echoed these sentiments, emphasizing the inappropriateness of considering electricity tariff hikes during times of hardship and advocating for a focus on improving transmission and distribution infrastructure.

The Senate’s stance underscores the importance of prioritizing citizens’ welfare and ensuring equitable access to essential services like electricity, especially amidst economic challenges facing the nation.

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