In response to demands to roll back the increase in Band A tariffs, Minister of Power, Adebayo Adelabu, highlights that the policy is drawing both domestic and international investors to the energy industry.
He said, “The revised tariff has led to renewed interest of investors in Nigeria’s power sector. This is a very good thing.
“All those people that have been running away from the sector, in terms of local and foreign investors; all the bankers that could not touch the sector with a long pole, they are now coming back, and they are interested in investing in the power sector; just because of the little increase we did for a small percentage of our electricity consumers.”
He mentioned that the ministry was actively safeguarding consumers’ interests to prevent them from falling victim to exploitation.
“Our people should not be cheated. There must be value for money.
“But the review of the tariff upward has done one good thing; it has stimulated demand. It is now mandatory for the DisCos to supply Band A (consumers) a minimum of 20 hours, which means they are taking power.
“The low level of generation we currently have is eating into our available power for the other bands. But we are ramping up output now. The case of DisCos rejecting power does not exist again. It is in their interest to make sure the infrastructure of other bands is worked upon so that they can be migrated to Band A, and that is more income for the sector.
“If other bands have low power supply now, it is temporary.”