The Minister of Power, Joseph Tegbe, stated that the Federal Government can no longer continue to cover electricity tariff shortfalls while being expected to provide reliable power to every Nigerian.
Speaking at the Harvard Business School Association of Nigeria (HBSAN) Energy Conference in Lagos, Tegbe highlighted that the structural failures across the electricity value chain—particularly the inability of operators to recover costs—remain the primary obstacle to keeping the country's lights on.
According to Tegbe, the government is working to address structural problems in the electricity market, including poor revenue collection, inadequate metering, accumulated debts to power generation companies and weaknesses in the existing market structure.
He emphasised that the failure of operators in the electricity value chain to recover their costs was one of the reasons the country could not keep the lights on. “Commercially viable pricing will work where the supplier can actually collect his money and get paid. There’s no sense in commercially viable pricing if you don’t collect money,” he said.
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