The Nigerian Electricity Regulatory Commission announced on Wednesday that the Federal Government had discontinued power subsidies totaling approximately N600 billion over a period of time.
It also revealed that electricity tariffs were raised in February of this year, but was quick to point out that the tariff payable by some customers in one of the distribution companies’ franchise areas was reduced.
The Chairman, NERC, Sanusi Garba, stated that subsidy on electricity was a policy issue of the Federal Government that had to be halted.
He said, “The role of the commission is to make a determination of the rates that consumers should pay. So we strike a balance between consumers and investors.
“Now subsidy is a policy issue determined by the government. The government will decide that the rates calculated or agreed by the regulator may at this time not be passed on to consumers. It has happened many times.