Fresh Electricity Tariff Hike Looms Despite President Tinubu's Promises of Economic Relief

Nigerians are expressing concern over a looming electricity tariff hike, as the monthly power subsidy by the Federal Government continues to rise. In September 2024, the subsidy hit N181.63 billion, up from N102.30 billion in May. This comes on the heels of the Nigerian Electricity Regulatory Commission’s (NERC) removal of subsidies for Band A feeders, announced in April 2024. As a result, electricity consumers who enjoy at least 20 hours of power daily saw their tariff raised to N225 per kilowatt-hour.

The conflict between President Tinubu's promises and the realities on the ground is becoming increasingly evident. In his recent address to the nation, President Tinubu outlined measures aimed at providing relief to Nigerians, including the removal of tariff fees on food and medication for six months and funding programs to support businesses. However, the rising cost of electricity stands in stark contrast to these promises of economic relief.

For many Nigerians, especially those on Band A feeders, electricity bills have skyrocketed, placing an additional financial burden on households and institutions. The government’s decision to raise tariffs comes at a time when citizens are grappling with inflation and other economic challenges, raising questions about the sustainability of President Tinubu’s broader economic strategy.

While the President’s initiatives like the minimum wage increase and business loans for SMEs are steps toward improving livelihoods, the impending electricity tariff hike could erode these gains. As the government continues to subsidize electricity, the long-term solution to the energy crisis and tariff issues remains uncertain, leaving many Nigerians caught between promises of relief and the reality of rising costs.