The Minister of Power, Adebayo Adelabu, says the Federal Government is still paying subsidy on electricity despite the recent hike in tariff paid by Band A customers said to be about 1.5 million of the total 12 million consumers in the sector.

Speaking on a monitored program, the minister said the government has about 1.8 trillion naira to pay in electricity subsidy for 2024.

Adelabu insisted that the Electricity Act, 2023 made provisions for the review of tariff twice a year.

Contrary to claim by human rights lawyer, Femi Falana, that the increase in tariff paid by Band A consumers was illegal, Adelabu said review of tariff is actually legal once it is within the exclusive responsibility of the Nigerian Electricity Regulatory Commission (NERC). The Act actually provides for review twice in a year, every six months.

On claims in some quarters that the Federal Government had removed subsidy on electricity in 2022, Adelabu cited rising dollar, soaring gas price, the cost of power plant, transmission and distribution infrastructure, amongst others in the last two years.

The minister however assured Band A customers of value for their money. He also assured Nigerians that consumers on other bands will not be shortchanged by distribution companies as the regulators will not hesitate to wield their big stick on any of such discos.

He also said the government has shifted its attention on discos inefficiently ran and will not hold back in taking the appropriate steps in the interest of consumers.