The Federal Government has announced plans to phase out electricity subsidy payments from 2027 as part of efforts to address mounting debts in Nigeria’s power sector.
Minister of Power, Joseph Tegbe, disclosed the plan during a media interactive session on Friday while addressing concerns over the sector’s growing financial obligations.
Tegbe said the government would discontinue subsidy payments beginning in 2027 but assured Nigerians that the move would not deprive consumers of the benefits currently enjoyed in the electricity sector.
He also dismissed speculation about an imminent increase in electricity tariffs, stressing that the Federal Government has no plans to raise tariffs in the immediate future.
The minister explained that the planned subsidy removal forms part of broader efforts to improve the financial sustainability of the power sector while maintaining consumer protection.
