The Minister for Power, Adebayo Adelabu, has said citizens of other African countries including Guinea, Togo, Mali and others pay more than what Nigerians pay for electricity.
Adelabu said Nigerians would also be ready to pay more for electricity if they get an improved power supply for their money
The minister said this on Thursday when he visited the corporate headquarters of the Ikeja Electric in Lagos State.
Adelabu, during a meeting with the management of the distribution company, said stakeholders in the electricity supply chain must gear up to create a basis for the removal of electricity subsidy for a cost-reflective tariff.
According to him, the challenges facing electricity are not insurmountable if all stakeholders play their roles well.
He expressed concern that a number of the 11 power distribution companies were not ready to invest in power infrastructure.
This, he said, the government would stop through legislation that would make capitalisation a requirement for all Discos.
“A lot of our distributors are satisfied with the status quo. There are some high-impact investments you can make in infrastructure that will double your fortune. It translates to increased revenue for you. Some Discos are not ready to put in any money, they are just satisfied getting that their monthly stipend pocket money.
“We will not allow that. That is why we are saying that if by persuasion we cannot achieve it, we will achieve it by legislation. We are looking at capitalisation requirements for Discos, which will compel them to pay more funds.
“Power business is highly capital intensive. It requires a lot of investments and infrastructure, and the investment can never be lost. It will also transform into sales and revenue for Discos. So we believe that our Discos must be ready to invest in high-impact infrastructure,” the minister said.
