The Minister of Power, Works and Housing, Mr. Babatunde Fashola has said that the new tariff regime that started on Monday will boost the power sector if allowed by citizens to stay.

In a statement made available by his Media Aide, Mr. Akeem Bello, the minister said, “If we allow the tariff regime as now reviewed to stay, instead of two, two year tariff changes we now have a 10-year tariff.” 

According to him, the new regime would have a number of positive spin offs, which means that some people who can afford to even pay more will get off the Grid, do their own arrangement and whatever they take off the Grid comes back to the masses.

He explained that the new tariff would remove the problem of fixed charge, which many people had kicked against and usher in a situation where user of electricity would be in control of how much they pay.

As he put it, “But, you can’t on one hand go to court as some people have done and say reduce the price; if you reduce the price or you don’t implement the tariff, if you succeed, which I hope you don’t, what will happen is that you are restoring fixed charge because it is the same tariff order that takes away the fixed charge which some people say they don’t want and those who don’t want it are in the majority.”

Fashola said stopping the tariff order, would also mean taking away the willing buyer and willing seller.

 “This tariff provides that opportunity so you can’t take the one you like and say the others should go away; if you succeed the whole tariff order goes.”
Fashola explained that the introduction of the new tariff was not a “take it or leave it situation but a move at correcting the whole system.