Nigeria to raise electricity tariffs to improve power supply and investment
London — Nigeria plans to overhaul its energy tariff system by 2021 to try to attract investment and improve power supply, the vice-chairperson of the country’s electricity regulator said. Only about half of the 190-million people in Africa’s most populous country have access to power. The problem has been exacerbated by prices that are capped below what it costs to generate and deliver power. Nigeria’s ailing power infrastructure, which forces businesses and households to run costly fuel generators, is often blamed for hobbling growth and is likely to be major issue in campaigning ahead of next February’s presidential election. Sanusi Garba, vice-chairperson of the National Electricity Regulatory Commission (Nerc), told a panel at the Developing Market Associates’ UK-Nigeria Trade and Investment Forum in London that Nerc had devised a "recovery plan" that would fix the tariff issue. "Under the plan, by 2021, tariffs, regular tariffs, will reach parity with cost-reflective tariffs,"...
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