The Federal Government has clarified that it has no immediate plans to remove electricity subsidies or increase power tariffs, following speculation that subsidy reforms could begin in 2027.

The clarification came after comments attributed to the Minister of Power, Joseph Tegbe, suggesting the government was considering measures to address financial distortions in the electricity sector as part of broader reforms. However, the government later stated that no decision had been taken to remove subsidies or raise tariffs.

According to the minister, the government’s current priorities remain improving electricity supply, expanding metering, strengthening transmission infrastructure, and stabilising the national grid.

Despite the clarification, the issue has sparked debate among political analysts and energy experts. Professor Kamilu Sani Fagge of Bayero University, Kano, described the government’s position as politically driven, arguing that growing economic hardship may have influenced the decision to suspend discussions on subsidy removal.

“The burden has become too much for ordinary Nigerians. The proposal may have been put on hold, but I do not believe it has been abandoned permanently,” he said.

Energy expert Engr. Jaafar Sulaiman also cautioned that removing electricity subsidies without addressing structural challenges in the power sector would only increase costs for consumers without guaranteeing better service.

“Paying more for electricity does not automatically mean improved power supply. Sustainable reforms must address generation, transmission and distribution challenges alongside financing,” he said.

Experts also questioned the transparency of the current subsidy framework, noting that tariff increases alone would not resolve the sector’s longstanding operational and infrastructure challenges.

The Federal Government has clarified that it has no immediate plans to remove electricity subsidies or increase power tariffs, following speculation that subsidy reforms could begin in 2027.

The clarification came after comments attributed to the Minister of Power, Joseph Tegbe, suggesting the government was considering measures to address financial distortions in the electricity sector as part of broader reforms. However, the government later stated that no decision had been taken to remove subsidies or raise tariffs.

According to the minister, the government’s current priorities remain improving electricity supply, expanding metering, strengthening transmission infrastructure, and stabilising the national grid.

Despite the clarification, the issue has sparked debate among political analysts and energy experts. Professor Kamilu Sani Fagge of Bayero University, Kano, described the government’s position as politically driven, arguing that growing economic hardship may have influenced the decision to suspend discussions on subsidy removal.

“The burden has become too much for ordinary Nigerians. The proposal may have been put on hold, but I do not believe it has been abandoned permanently,” he said.

Energy expert Engr.Jaafar Sulaiman also cautioned that removing electricity subsidies without addressing structural challenges in the power sector would only increase costs for consumers without guaranteeing better service.

“Paying more for electricity does not automatically mean improved power supply. Sustainable reforms must address generation, transmission and distribution challenges alongside financing,” he said.

Experts also questioned the transparency of the current subsidy framework, noting that tariff increases alone would not resolve the sector’s longstanding operational and infrastructure challenges.