Wednesday 7 October 2015

FG To Slash Electricity Tariff, says Osinbajo




The Federal Government has promised to review downward the high electricity tariff introduced by the various distribution companies in the country.
Vice-President Yemi Osibajo made this known on 7 October 2015 in Lagos at the Manufacturers Association of Nigeria (MAN) 2014 Annual General Meeting. He said that the tariff currently in place in the country’s power sector was for a short term, adding that a cost effective tariff is expected to come in place soon. According to him, government is determined to step into the power sector to ensure stability in electricity tariff control so as to protect the consumers-New telegraph

Osinbajo added according to New Telegraph   that Nigerians must endure with the current happenings in the power sector, noting that the high tariff was meant to stabilise the privatisation that took place in the sector. He said: “At this point, we are aware of the high tariff in the power sector but we are looking at putting in place a cost effective tariff that will make sure that electricity consumers in the country are billed in consonant to the energy they consumed. “We (government) need to come in to ensure stability in tariff payment.
So, we must be ready to endure for a while because the high electricity tariff will soon go down. It’s a short term plan.” The vice-president admitted that there were lots of challenges in the power sector, especially on the reconciliation of energy distribution between the generation and distribution companies.
He pointed out that about 40 per cent energy was being lost and unable to be accounted for by DISCOs, due to energy thefts, sabotage of power plants facilities and gas pipelines in the country. Osinbajo, however, said that the country is expected to attain 5,000 megawatts power generation next year, adding that government was intensifying efforts to strengthening the country’s transmission area for more production and evacuation of energy.
He added that the country’s installed capacity was already 12,000 megawatts. “Power is being taken seriously by this administration. We expect to get 40 per cent increase in transmission capacity next year. You would be aware that Egbin power was sabotaged recently which culminated into drop in power supply, but very soon, Egbin will be back to full operation,” he said.
He said that the manufacturing sector remained a critical sector for government, adding that the administration would not sign any treaty that will be injurious to the country’s manufacturing sector, especially the External Pact Assessment (EPA)
Concluding, he said government is committed to creating an enabling environment for genuine investors who are determined to invest and develop the country’s manufacturing sector. National President, MAN, Dr. Frank Jacobs, said that the country’s economy remained largely a mono-product economy, depending mainly on oil exports

 

 

 

No comments:

Post a Comment