• Sunday, May 26, 2024
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BusinessDay

60% of those enjoying power subsidy are wealthiest Nigerians- Mamman

Uncertainty for N100bn Mambilla power project as minister confirms omission in 2021 budget

60 percent of those enjoying power subsidy in Nigeria are 10 percent of those at the upper pyramid who enjoy constant power supply why at least 80 million Nigerians don’t have access to electricity, Nigeria’s minister of power, Saleh Mamma has said.

The minister who was represented by his special adviser on policy Abba Aliyu said the federal government have spent N1.5 trillion subsidy power since 2015 resulting from monthly spending of N12 billion which is not sustainable as performance of Disco keeps flaunting.

“The consumers are not averse to increase in electricity tariff as long as its reflective in-service delivery,” Aliyu said at BusinessDay Energy Series.

Read also: Rethinking government’s role in the power sector

Aliyu said the power sector is one of the most challenging sectors in the economy, although there are plans to solve them soon.

The Minister noted that some of the main challenges facing the sector are the failure to meet contract obligations or contract ineffectiveness, massive infrastructural deficits, lack of central coordination within the sector as various stakeholders walk-in silos.

In order to solve the challenges, the minister is working on solutions such as alignment of infrastructure along the value chain, enhancing coordination among the various stakeholders, creating transparency in contracts obligations, and increasing electricity access across the country most especially those off-grid.