The Senate has opposed the Ministry of Power’s intentions to raise power tariffs.
Given the country’s current economic situation, the Senate also rejected efforts to eliminate power subsidies.
The Senate’s resolution came after it considered and approved a motion presented by Senator Aminu Abbas (PDP, Adamawa Central) at plenary on the necessity to maintain power subsidies in the country for the foreseeable future.
Adebayo Adelabu, the Minister of Power, revealed last week during a news conference in Abuja that Nigeria’s present power subsidy was unlikely to be sustained.
He said that the country’s power industry was now in debt to electricity and gas corporations totaling more than N3 trillion.
He said:
“Today, we owe a total of N1.3tn to the power generating companies, out of which 60 per cent is owed to gas suppliers. Today we have a legacy debt, before 2014, to the gas companies of $1.3bn; at today’s rate, that is close to N2 trillion.”
cc: Punch ng
