In a stern warning, Minister of Power, Adebayo Adelabu, has cautioned that Nigeria faces an imminent total blackout within three months if the proposed electricity tariff hike is not enforced.
Speaking in Abuja during an investigative hearing by the Senate Committee on Power regarding the recent tariff adjustments by the Nigerian Electricity Regulatory Commission (NERC), Adelabu emphasised the urgency of the situation.
Amidst the escalating debate over electricity tariffs, the Nigerian power sector confronts multifaceted challenges demanding immediate attention and strategic interventions.
Minister Adelabu underscores the indispensable need for substantial annual investments amounting to $10 billion over the next decade to revitalise Nigeria’s ailing power sector.
The infrastructural exigencies necessitate a concerted effort towards attracting investors and lenders to ensure sustainable growth and stability.
Adelabu appeals to legislative stakeholders for support in addressing the staggering N2.9 trillion subsidy arrears owed to power sector operators. Limited government resources underscore the urgency of devising innovative mechanisms to sustain the sector amidst fiscal constraints.
Senator Abaribe and his committee express profound concerns over the potential adverse impacts of tariff hikes on the populace. Advocating for comprehensive solutions, the committee underscores the importance of ensuring liquidity in the sector while prioritising the welfare of Nigerians.
The Senate committee raises pertinent questions regarding the accountability of stakeholders, highlighting instances of noncompliance and mismanagement within the sector.
The nonappearance of ZIGLAKS, a company entrusted with providing prepaid meters, further underscores the imperative of transparency and accountability.
Amidst the ongoing deliberations, various stakeholders, including NERC, MAN, Gencos, and DisCos, contribute valuable insights towards addressing the sector’s challenges. Collaboration and dialogue remain paramount in charting a sustainable path forward for Nigeria’s power sector.
Through strategic investment, legislative cooperation, and stakeholder engagement, Nigeria’s power sector can overcome its current challenges and emerge resilient in the pursuit of sustainable growth and electrification.