Tegbe recently said the Federal Government had no immediate plan to increase electricity tariffs as the administration prioritises these objectives.
In December, the Federal Government issued the first bond under the Presidential Power Sector Debt Reduction Programme, marking a major step toward resolving payment arrears in Nigeria’s electricity industry.
The government plans to issue up to N4 trillion in government-backed bonds to settle legacy debts owed to electricity generation companies and gas suppliers.
The strategy has triggered concerns in some quarters over a potential debt-for-debt risk.
The plan is intended to unlock commercial and industrial demand and improve DisCo collections. For Nigerian businesses in the targeted corridors, the key test will be whether the infrastructure upgrades can translate into reliable supply and better collections.
