Former Minister of Power, Prof. Barth Nnaji, on Tuesday urged the Nigerian Electricity Regulatory Commission (NERC) to embrace cost reflective tariff for effective and regular power supply.
Nnaji told news reporters in Lagos, South-West Nigeria, that there would be a problem if the tariff was not cost reflective.
The tariff we had two years ago is still what we are using, whereas, the nation's currency has been devalued by 50 percent already.
There is need for the tariff to be adjusted so that consumers will be able to enjoy electricity supply.
This means that the entire power value chain has to be worked out for effective and efficient power delivery, he said.
Nnaji, who is the Chairman of Geometric Power Ltd., said that electricity tariff was supposed to be amended every year.
According to him, it can go up and it can go down depending on the nature of the country's currency.
On the level of performance by investors, he said that the criteria set out for the privatization of power sector in 2013 was based on technical and financial capacity.
Source: Voice of Nigeria