By Milcah Tanimu
In response to the prevailing challenges faced by citizens, the Senate has made an appeal to the federal government, urging the continuation of the electricity subsidy in the country. This decision was reached following a thorough deliberation during a plenary session, where a motion advocating for the maintenance of the subsidy was endorsed.
The motion, introduced by Aminu Iya Abbas, a PDP Senator representing Adamawa Central, raised concerns about the mounting debts owed to power-generating companies, amounting to N1.3 trillion, and gas companies, totaling $1.3 million, by the Ministry of Power.
In addition to endorsing the motion, the Senate has initiated an investigation into the Ministry of Power, the Nigeria Electricity Regulatory Commission, and Ziglaks Company regarding the unmet agreement to supply prepaid meters. This investigative measure aims to safeguard Nigeria from potential disadvantages.
The call for the retention of the electricity subsidy comes in the wake of the Federal Government’s acknowledgment of the challenges in sustaining it due to the escalating power debts in the country. Adebayo Adelabu, Nigeria’s Minister of Power, emphasized the need for tariffs that reflect the actual costs, citing substantial debts owed to electricity generating firms and gas providers.
While the 2024 budget allocates N450 billion for electricity subsidy, projections from the Nigerian Electricity Regulatory Commission indicate a potential surge to N2.9 trillion within the year. The Senate’s plea underscores the importance of maintaining the subsidy to alleviate the burden on citizens amid the prevailing economic challenges.
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