The Federal Government has dismissed reports suggesting that it is preparing to increase electricity tariffs for consumers across Nigeria, saying there is currently no plan to introduce a fresh tariff hike.
Sadiq Wanka, Special Adviser to the President on Power Infrastructure in the Office of the Vice President, made the clarification after comments he made at a power sector event in Lagos were reportedly interpreted differently by some media outlets.
In a statement shared on his X account on Saturday, Wanka said there was no planned increase in electricity tariffs for consumers under any service band.
He also assured Nigerians that the government would continue to support vulnerable households through electricity tariff assistance.
“There is no planned tariff hike for any grid consumer across any service band,” Wanka said, stressing that government policy remains focused on protecting consumers who may be unable to cope with higher electricity costs.
Wanka explained that his earlier remarks were made during a presentation at the Asharami Square 3.0 event held in Lagos on July 22. His presentation focused mainly on investment opportunities in Nigeria’s power sector and the reforms being implemented by the Federal Government.
According to him, the reforms are designed to create more opportunities for private investors across different parts of the electricity value chain, including generation, transmission, distribution and related services.
He said his comments were also made in reference to the government’s existing electricity tariff policy, which is contained in the National Integrated Electricity Policy. The policy was finalised in December 2024 and approved by the Federal Executive Council in May 2025.
Wanka explained that the policy provides for a gradual move towards cost-reflective electricity tariffs, a process that has already affected consumers classified under Band A.
However, he stressed that this should not be interpreted as an indication that electricity subsidies for other consumer categories are about to be removed.
For consumers in the other service bands, Wanka said the government is not planning to withdraw subsidies. Instead, authorities are considering ways to make electricity support more targeted and efficient.
One of the mechanisms being considered is the Power Consumer Assistance Fund, known as PCAF. The fund was created under the Electricity Act 2023 and is intended to provide targeted support to vulnerable electricity consumers.
The proposed approach could allow assistance to reach consumers directly through their electricity accounts or other identity-linked systems. This is expected to improve transparency and ensure that government support reaches the people who need it most.
The government believes a more targeted subsidy system could also help strengthen confidence among investors while reducing inefficiencies in the electricity market.
The clarification comes as electricity tariffs remain a sensitive issue for households and businesses across Nigeria, particularly because power costs directly affect household expenses and the operating costs of companies.
Wanka also acknowledged the role of journalists in explaining government policies to the public, particularly on complex issues such as electricity reforms.
He said the administration of President Bola Ahmed Tinubu remains committed to supporting platforms that improve journalists’ understanding of policy issues.
The government, he added, expects continued cooperation from the media in ensuring that Nigerians receive accurate information about developments in the power sector.
