Site icon Continental Reporters

Atiku Electricity Tariff Pledge Targets Nigeria’s Five-Band System

Former Vice-President Atiku Abubakar has pledged to overhaul Nigeria’s electricity pricing structure by abolishing the existing five-band tariff system if elected president in 2027. He said his proposed reforms would introduce a fairer and more affordable arrangement for households and businesses struggling with rising energy costs and unreliable power supply.

The African Democratic Congress (ADC) presidential candidate made the promise while responding to criticism from the All Progressives Congress (APC) Presidential Campaign Council over President Bola Tinubu’s record in the electricity sector.

In a statement issued on Sunday by Phrank Shaibu, Director of Strategic Communication for the ADC Presidential Campaign Council, Atiku accused the ruling party of focusing on government policies, financial interventions and project announcements instead of addressing the daily challenges facing electricity consumers.

He argued that Nigerians continued to pay electricity bills despite frequent interruptions, forcing many families and business owners to spend additional money on petrol and diesel generators.

Atiku maintained that the country needed dependable electricity rather than repeated assurances about reforms that had yet to provide the level of supply consumers expected.

Atiku Proposes New Electricity Pricing Framework

Atiku’s proposal focuses on replacing the existing five-band electricity tariff structure, which divides consumers into Bands A, B, C, D and E according to their expected daily hours of electricity supply.

Under the current service-based arrangement, Band A customers should receive a minimum of 20 hours of electricity daily, while Band B has a 16-hour target. Band C customers are expected to receive at least 12 hours, with Bands D and E having minimum targets of eight and four hours respectively.

The system was designed to connect electricity charges with the level of service provided by distribution companies. However, Atiku argued that consumers across the different categories still experience unreliable supply despite paying the applicable rates.

He particularly questioned the cost faced by some Band A customers, who pay approximately ₦209.50 per kilowatt-hour before Value Added Tax (VAT), according to figures cited in his statement.

The former vice-president said the arrangement had increased pressure on households and businesses, especially those that depend on alternative energy sources to maintain their daily activities.

He promised to work with state governments and electricity regulators, within the law, to develop a replacement framework that would protect consumers and ensure distribution companies remain accountable for the electricity they deliver.

Atiku also stressed that affordable electricity should remain a national priority, arguing that families should not have to choose between paying electricity bills and meeting other essential needs.

Atiku Questions Tinubu’s Electricity Record

The former vice-president’s comments followed a response from Dele Alake, spokesperson for the APC Presidential Campaign Council, who defended the Tinubu administration’s approach to electricity reforms.

Alake highlighted several government interventions, including the Electricity Act 2023, the Presidential Metering Initiative and a multitrillion-naira bond programme designed to settle outstanding debts owed to electricity generation companies and gas suppliers.

The APC campaign council maintained that these measures formed part of the government’s efforts to address longstanding problems in the power sector.

However, Atiku argued that legislation, financial arrangements and project approvals should produce measurable improvements in electricity generation and distribution.

He also questioned the administration’s progress in expanding power generation infrastructure, insisting that settling outstanding industry debts alone would not guarantee a more reliable electricity supply.

The ADC candidate further raised concerns about the Federal Government’s proposed plan to end electricity subsidies from 2027, demanding a clear explanation of how the decision could affect consumers.

He noted that households and businesses already faced considerable energy expenses and needed assurances that future policy changes would not increase their financial difficulties.

The disagreement has added electricity pricing and power supply to the issues shaping political discussions ahead of the 2027 general elections.

While the APC has pointed to ongoing reforms, Atiku has presented the abolition of the existing tariff bands as part of his proposed approach to improving affordability and accountability in the sector.

His pledge has therefore placed renewed attention on how political parties intend to address electricity costs, service delivery and the financial challenges facing Nigeria’s power industry.

Exit mobile version