Nigeria’s average electricity tariff dropped by 48% in 4 yrs

Nigeria’s average electricity tariff dropped by 48% in four years to 8.10 cent per kilowatts hours, kWh, from 15.67% recorded in 2014. In its latest report, the World Bank stated: “Between 2009 and 2014, rapid movement towards cost reflexivity were made such that by 2014, the average end-user tariff in Nigeria was close to the median for other West African countries.”

“However, between 2015 and 2018, Nigeria’s tariff collapsed and its average end –user tariff fell back to less than 40 percent of the median for West African region.”

It stated that despite best intentions by the Federal Government ‘to bridge the gap through privatisation and other measures, insolvency crisis continue to hit the operations of stakeholders, including the Electricity Distribution Companies, DISCOs, to Transmission Company of Nigeria, TCN, to Electricity Generation Companies, GENCOs, to gas production and transportation entities.

Source: Vanguard

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