In a statement posted on its social media handles, IKEDC revealed that Band A consumers will now pay N209.5/kWh, up from the previous rate of N206.80/kWh.

This new rate, in line with the service-based tariff regime, will take effect from July 1, 2024.

The statement also clarified that tariffs for Bands B, C, D, and E will remain unchanged.

IKEDC assured customers that this development will further enhance the improved service delivery currently experienced across all Feeder Bands within the Ikeja Electric network.

During a press briefing in Abuja on Wednesday, the Vice Chairman of NERC, Musliu Oseni, announced that there will be a rise in electricity tariffs.

This adjustment will result in customers paying N225 per kilowatt-hour, up from the current rate of N66.

“We currently have 800 feeders that are categorised as Band A, but it will now be reduced to under 500. This means that 17 percent now qualify as Band-A feeders. These feeders only service 15 percent of total electricity customers connected to the feeders.

“The commission has issued an order which is titled April supplementary order and the commission allows a 235 kilowatt per hour.”

Addressing a gathering of All Progressives Congress (APC) members in a recent press briefing held at the Oyo State party headquarters in Oke-Ado, Ibadan, Adelabu highlighted the administration’s determination to overhaul the existing challenges plaguing the power sector.

He emphasized the need to tackle the root causes of these issues comprehensively.

“This is why we are addressing the root cause of the power sector problems.

“We are addressing all the problems associated with all the segments of the power sector value chain – from gas supply to generation, to transmission, to distribution and to the customers themselves. There are a lot of things that we are doing that Nigerians will soon start seeing.

“Yes, there are pockets of improvements here and there, but that is not where we are going. We are still going to Eldorado whereby every Nigerian will be able to enjoy adequate, stable, functional and reliable power supply.

“But let me tell you that it is a journey and not a destination. We will start seeing this improvement as we are seeing now to improve. This is because when you are repairing, you will still suffer some damages, you will still suffer some pains.

“When they were repairing the Lagos-Ibadan Expressway for 10 years, people were having traffic jam and getting held up in serious traffic until they finished the road.

“So, while we are repairing, people must help us to bear the little pains that will come with it. But at the end of the day, we will make gains. For you to make an omelet, you must break eggs. This is the period of breaking the eggs. Very soon, we will start eating our omelet.

“I am determined to solve the problems in the power sector and Nigerians will start singing our good songs very soon,” he said.

In its recently published ‘Post Financing Assessment (PFA)’ report, the IMF emphasized the necessity for Nigeria to restore macroeconomic stability, pointing out that electricity subsidies alone cost the government N375.8 billion between January and September 2023. During the same period, consumers paid a total of N782.6 billion for electricity.

The IMF commended the government’s efforts in implementing reforms but stressed the importance of removing both fuel and electricity subsidies to alleviate fiscal pressure.

The report highlighted Nigeria’s challenging economic environment, characterized by limited external financing, surging global food prices, stalled per capita growth, and high levels of poverty and food insecurity.

While acknowledging the government’s commitment to fiscal consolidation and monetary tightening, the IMF emphasized the need for targeted support for the most vulnerable segments of the population, recommending the phasing out of costly and ineffective fuel and electricity subsidies.

According to the Nigerian Electricity Regulatory Commission (NERC), the government subsidized electricity throughout the first three quarters of 2023, with power distribution companies billing a total of N1.06 trillion during this period.

However, despite significant billing, only N782.6 billion was received, raising concerns about the sustainability of subsidies amidst widespread power outages.

The IMF’s call for subsidy removal aligns with broader efforts to address fiscal vulnerabilities and create conditions for sustained economic growth in Nigeria.

Ajuri Ngelale, Special Adviser on Media and Publicity to President Tinubu, confirmed the enactment in a statement released on Friday titled ‘President Tinubu Assents to Electricity Act (Amendment) Bill.’

The bill, which passed through both the House of Representatives on July 27, 2023, and the Senate on November 14, 2023, was sponsored by Babajimi Benson, representing the Ikorodu Federal Constituency of Lagos State.

One of the key provisions of the Electricity Act (Amendment) Bill, 2024, mandates that five percent of the actual annual operating expenditures of power generating companies from the preceding year be allocated for the development of their respective host communities. This measure aims to address the pressing needs and enhance the infrastructure of these communities.

Furthermore, the bill specifies that the funds designated for host community development will be managed and administered by a reputable Trustee/Manager jointly appointed by the respective GENCO (Power Generating Companies) and their host communities, ensuring efficient utilization for infrastructure development.

President Tinubu’s assent to this legislation underscores the commitment to equitable development and environmental sustainability within Nigeria’s energy sector.

Chief Adebayo Adelabu, the Minister of Power, made this announcement during the opening of a Ministerial Retreat organized by the Federal Ministry of Power in Abuja.

Recognizing TCN as the weakest segment in the Nigerian Electricity Supply Industry (NESI), Chief Adelabu disclosed that TCN would be restructured into the Independent System Operator (ISO) and the Transmission Service Provider (TSP).

The restructuring aims to address the challenges faced by TCN and align with the evolving landscape of State Electricity Markets, potentially decentralizing the national grid into regional grids interconnected by a new higher voltage national or super-grid.

The minister emphasized the need for stakeholders and operators to renew their efforts to achieve the goals of the government’s reform initiatives, which aim to improve power supply and make electricity consistently available across the country.

Chief Adelabu expressed concern over the inefficiency in Nigeria’s electricity supply, highlighting the significant operating costs associated with the reliance on diesel- and petrol-powered generation capacity.

While addressing the retreat’s participants, the minister stressed the importance of implementing the outcomes of the retreat to address challenges in the electricity sector.

He also regretted the recent power grid collapse, assuring that immediate action was taken to restore functionality and that it was not due to strategic faults in the grid.

The Minister of Power, Adebayo Adelabu, revealed on Wednesday that the Federal Government will investigate the legality of the five-year license extension granted to privatized power distribution and generation companies, whose licenses expire on October 31, 2023.

During a press briefing in Abuja, Minister Adelabu emphasized the government’s commitment to addressing non-performance within the power sector.

He stated that any non-performing chief executive in agencies under the power ministry would face dismissal if their performance jeopardized his position as minister.

Adelabu addressed the issue of a cost-reflective tariff, explaining that the government still subsidizes power due to the gap between the cost-reflective tariff and the allowed tariff.

Tinubu has refrained from approving a tariff hike until regular and incremental power supply is achieved.

Adelabu acknowledged that the delay in implementing a cost-reflective tariff has caused liquidity issues in the power sector but emphasized the government’s commitment to avoiding additional burdens on Nigerians.

The minister highlighted the challenges posed by the rising exchange rates, fuel subsidy removal, and inflation. He assured that tariff increases would be implemented at an appropriate time, following extensive sensitization and communication with the public.

Adelabu stressed the need for assured incremental and regular power supply before any tariff adjustment.

Addressing the power generation capacity, Adelabu deemed the current 4,000 megawatts power generation in Nigeria as shameful and unacceptable.

He affirmed ongoing efforts to increase power generation.

The minister reiterated President Tinubu’s stance on performance, emphasizing that any senior official failing to deliver would be relieved of their duties.

Adelabu expressed his belief that the privatization of the power sector in 2013 was a mistake and suggested that commercialization would have been a better approach.

Despite the government’s 40% stake in power distribution companies, Adelabu stated that the government might consider taking control of these companies.

He also mentioned a possible review of the territorial coverage of distribution companies.

The minister revealed an ongoing investigation into the extension of licenses for privatized power firms and emphasized the government’s commitment to a performance bond agreement with these firms.

Adelabu concluded by addressing the speculation about Nigeria supplying power to the Niger Republic, stating that it has not started and that the situation is being monitored by the Federal Government.

Recent statistics from the National Bureau of Statistics highlighted fluctuations in electricity customer numbers and revenue generation by distribution companies.

The minister assured a thorough investigation into the license extension and reiterated the government’s commitment to addressing challenges within the power sector.

Earlier reports had indicated a widespread blackout across the country due to the total collapse of Nigeria’s electricity grid in the early hours of Thursday morning.

The grid’s complete collapse occurred at approximately 12:40 a.m., resulting in a significant loss of power supply to distributors nationwide.

In a Facebook post on Thursday, Minister Adebayo Adelabu provided details about the incident, attributing the blackout to the fire outbreak at Kainji/Jebba.

Adelabu said, “At 00:35Hrs this morning, a fire outbreak with explosion sound was observed on Kainji/Jebba 330kV line 2 (Cct K2J) blue phase CVT & Blue phase line Isolator of Kainji/Jebba 330kV line 1 was observed burning. This led to sharp drops in frequency from 50.29Hz to 49.67 Hz at 0:35:06Hrs with Jebba generation loss of 356.63MW.

“Kainji started dropping load from 451.45 MW at 00:35:07Hrs to zero. At 00:41Hrs frequency dropped further from 49.37 Hz to 48.41Hz then resulted in system collapse of the grid.

“We are on top of the situation and speedy restoration is in progress. The fire has been fully arrested and over half of the connections are now up and the rest will be fully restored in no time.

“My sincere appreciation to those who responded or expressed concern via different channels and the team of Engineers for their prompt response to the situation and work done so far. Let’s get the restoration work completed as soon as possible.

“Delay in update was deliberate, so as not to cause panic and to also be able to update on progress of remedial actions taken so far.

“This is to ensure economic and security saboteurs don’t take advantage of every situation reported.”

They argue that countries and regions should have the freedom to determine their own energy transition pathways based on their specific development needs and access to energy.

During the opening of the 16th Nigerian Association for Energy Economics (NAEE) Conference in Abuja, the experts highlighted the unjust nature of subjecting African countries, which are struggling with energy access, to the same requirements as more developed nations.

Dr. Omar Ibrahim, the Secretary General of the African Petroleum Producers’ Organisation (APPO), emphasized that the climate change crisis is primarily caused by developed countries and therefore they should bear the responsibility of addressing it.

He stated that it is unfair to expect African nations, which have contributed minimally to climate change, to bear the burden of reducing global warming through a uniform approach.

Dr. Ibrahim also questioned the motives behind Western countries’ push for a uniform energy transition plan, pointing out that their climate activism seems to be driven more by their quest for energy security than genuine environmental concerns.

He cited examples of how these countries announced an end to funding oil and gas projects in Africa due to their perceived negative impact on the environment, but then offered to fund similar projects when they faced energy shortages themselves.

Engr. Farouk Ahmed, the Chief Executive of the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA), emphasized the importance of a just and equitable energy transition for the African continent.

He noted that Africa has a minimal contribution to global CO2 emissions compared to the nations pressuring the continent to adopt a disproportionate decarbonization energy transition program.

Engr. Ahmed emphasized the need for Africa to pursue energy evolution and transition strategies that support economic growth and the continent’s energy needs without sacrificing sustainable development.

He highlighted the importance of ensuring sufficient energy supply to power the industrial revolution required for true economic and sustainable development in Nigeria and other African countries.

The experts stressed that Africa should have the autonomy to choose its own energy transition pathway, taking into account its unique circumstances and developmental requirements.

They emphasized the significance of balancing energy access, economic growth, and sustainability in Africa’s energy evolution.