The Minister of Power, Works, and Housing, Mr. Babatunde Fashola, has said that the methodology for the future review of tariffs in Nigeria’s electricity market would be made clear to customers to end the prevalent suspicion about tariffs in the country, THISDAY reports.
Speaking at the recent presidential Quarterly Business Forum (QBF) in Abuja, Fashola said there were misunderstandings about electricity tariff issues by consumers, adding that consumers do not really understand why tariffs should be cost-reflective. He noted that the government has decided to make the processes simpler to enable consumers understand how the tariffs they pay for electricity consumption was arrived at, as well as a justification for them.
The minister also alleged that the reversal of the tariff in 2015 by the Nigerian Electricity Regulatory Commission (NERC) had partly contributed to the huge debts of the market. He stated that the government decided to work with the World Bank to create the Power Sector Recovery Programme because it needed the support of the Bank to clear up existing operational challenges in the sector.