The Federal Government spent N120 billion in 2022 to subsidise electricity consumers in selected bands, including C,D and E, down from a N552 billion peak before the administration of Muhammadu Buhari, the Special Adviser to the President on Infrastructure, Mr Ahmad Zakari, has said. Speaking on Channels Television, he stated that the subsidy haf remained a buffer for not just the poor and vulnerable but to cushion the impact of gradual increases in the electricity tariffs. Zakari also said the sector collected N80 billion in December 2022, which, he stated, was the sector’s largest collection in the history of the Nigerian power sector. He said: “The government actually contin- ues to subsidise citizens in bands, C, D and E which is where most of our areas that don’t receive power and our less affluent ones are. “I think some people have tried to ‘weaponise’ tariffs politically. We must have an electricity sector that’s built on commercial pragmatism and we must use our limited resources to subsidise the citizens that need that subsidy. And we continued to do that last year. We spent N120 billion last year subsidising our lower bands. “When the All Progressives Congress (APC) administration came, the sector was in a coma. We had ballooning subsidies of N552 billion at its peak and it was approaching N1 trillion.” Zakari said that over four million meters would be distributed in the next phase of the ongoing National Mass Metering Programme (NMPP), adding that one million units had already been deployed in the initial phase of the programme. He said: “President Buhari actually withheld some funding that was available from the World Bank for a short period of time to allow us to restructure the Discos and we have a World Bank facility that will fund another 1.25 million metres. “So, what I would say is we know the gap when we started was about 9.8 million meters. One million has been done by the first phase of the national mass metering programme. “Another four million will be done by the second phase, which should commence shortly. Then another funding for one million has been secured and procurement will commence. It should start this first quarter before March. “The ongoing local production of meters was to make sure new build meters were manufactured in Nigeria, as 41 companies are now in the process, thereby creating thousands of local jobs.
