Vice President Yemi Osinbajo said on Monday Nigerians should prepare to pay higher electricity tariff.
He said the higher electricity payment is inevitable.
The vice president spoke at the Sixth Presidential Business Forum held at the old Banquet Hall of the Presidential Villa, Abuja.
The Sixth Presidential Business Forum, which focused on agriculture and its value chains, had the Minister of Agriculture and Rural Development, Audu Ogbe; the Minister of Industry, Trade and Investment, Okechukwu Enelamah; officials of government agencies and stakeholders in the agriculture sector in attendance.
“There is no question at all that we must pay higher tariffs,” Osinbajo said.
He said government was not going to increase the tariff for now but was working towards cleaning the electricity value chain.
According to him, the N700 billion Payment Assurance Guarantee set aside by government was to ensure uninterrupted payment for gas and liquidity in the power sector.
Osinbajo said the payment assurance guarantee was to fund a smooth transition “from where we will have a much more market-determined policy for electricity.”
The vice president said government was working with the World Bank on the matter.
He also disclosed that President Muhammadu Buhari has directed that a committee be set up to explore the use of government’s intervention funds in agriculture.