The Federal Government has ruled out any immediate increase in electricity tariffs, unveiling an ambitious reform agenda aimed at strengthening Nigeria’s power sector through universal metering, improved grid stability, enhanced electricity supply and a financially sustainable market.
Minister of Power, Joseph Tegbe, announced the roadmap on Friday at the National Media Roundtable themed “Resetting the Sector” in Abuja, describing it as a comprehensive strategy to address decades of structural deficiencies that have constrained the country’s electricity industry.
Tegbe said the reforms, backed by the administration of President Bola Ahmed Tinubu, are designed to improve electricity availability and reliability, restore investor confidence, strengthen the sector’s financial viability and position electricity as a catalyst for industrialisation and economic growth.
“The Nigerian people deserve to know where their power sector is headed, why certain decisions are being taken, and how those decisions will ultimately translate into better electricity supply for homes, businesses and industries,” the minister said.
He explained that the “Resetting the Sector” initiative marks a new era of transparency, accountability and stakeholder collaboration, stressing that it is intended to consolidate ongoing reforms while addressing long-standing challenges rather than repudiating previous efforts.
According to Tegbe, the Tinubu administration has demonstrated the strongest political commitment to electricity sector reforms since the industry’s liberalisation, with the implementation of the Electricity Act creating a regulatory framework that empowers states to establish electricity markets suited to their economic realities.
He said the Federal Government views decentralisation as a key driver of innovation, competition and private sector investment across the federation.
To tackle the sector’s persistent liquidity crisis, the minister disclosed that the government is advancing a Power Sector Bond Initiative to clear outstanding debts owed to electricity generation companies, gas suppliers and other market participants, a move expected to restore commercial confidence and improve market stability.
Universal metering, he noted, remains one of the administration’s highest priorities through the Presidential Metering Initiative (PMI), which seeks to eliminate estimated billing and ensure consumers pay only for electricity actually consumed.
He described estimated billing as a long-standing source of mistrust between electricity distribution companies and consumers.
As part of the metering drive, Tegbe announced the launch of the Power Force programme, which will engage about 5,000 Nigerian youths in nationwide meter installation while building technical capacity through the National Power Training Institute of Nigeria (NAPTIN).
He added that the ministry had made significant progress in resolving long-standing procurement challenges affecting meter deployment.
On power generation, the minister said operational improvements had enabled Nigeria to sustain electricity generation of approximately 5,000 megawatts over the past two weeks.
While acknowledging that increased generation alone would not resolve the sector’s challenges, he said improved coordination among generation, transmission and distribution companies was already delivering measurable improvements.
“Electricity must be generated, transmitted, distributed and paid for. All these components must function simultaneously,” he stated.
Tegbe announced that the government would commence a comprehensive technical audit of the nation’s transmission infrastructure to identify ageing facilities, overloaded substations, weak transmission corridors and other operational vulnerabilities requiring urgent intervention.
He also disclosed plans to harmonise electricity regulation between the Federal Government and state electricity regulatory commissions to eliminate jurisdictional conflicts and provide greater certainty for investors under the Electricity Act.
To reinforce the national grid, the government will invest in three major transmission corridors covering Lagos, Enugu–Port Harcourt, and Abuja–Kaduna–Kano.
The minister further revealed plans to optimise underutilised electricity assets by connecting them to industrial clusters and manufacturing hubs, while implementing a long-term Super Grid Programme to expand Nigeria’s transmission backbone and support future industrial growth.
According to him, Nigerians should begin to experience a stronger national grid, reduced technical losses, improved market discipline, expanded electricity access and enhanced operational efficiency within the next two to three years.
Addressing concerns over electricity pricing, Tegbe categorically dismissed speculation that the government was preparing to raise tariffs.
“There is no policy by this administration to increase electricity tariffs beyond its current level. Our priority is not tariff increase in the immediate term. Our priority is service improvement, universal metering and ensuring Nigerians pay only for the electricity they actually consume,” he declared.
He added that the government would continue to implement measures to protect vulnerable consumers while strengthening the financial sustainability of the electricity market.
The minister called on investors, electricity operators, development partners, labour unions, consumer groups, state governments and the media to support the reform programme, stressing that its success would ultimately be measured by tangible improvements in the quality of electricity supplied to Nigerians.
“Our ambition is clear: reliable electricity that powers our homes, competitive electricity that powers our industries, sustainable electricity that attracts investment, and inclusive electricity that reaches every Nigerian,” Tegbe said.
