The Osun Civil Societies Coalition (OCSC) has raised concerns over the Federal Government’s plan to phase out electricity subsidies from 2027, warning that the policy could increase financial pressure on households and businesses across the country.
The coalition made its position known in a statement issued on Thursday to commemorate Nigeria’s 66th Independence Anniversary. The statement, signed by the OCSC Chairman, Waheed Lawal, called on the Federal Government to ensure that efforts to improve electricity supply do not make power unaffordable for ordinary Nigerians.
The group argued that any significant increase in electricity tariffs could have wider economic consequences, particularly for families, workers, traders, farmers, artisans and small and medium-sized enterprises already dealing with rising costs of food, transportation, housing and business operations.
According to the coalition, higher electricity costs could increase production expenses for businesses while reducing the amount of money available to households for other essential needs. It therefore urged the government to tackle persistent structural problems within the electricity sector before removing the subsidy.
The OCSC identified technical and commercial losses, electricity theft, inadequate infrastructure, insufficient metering, estimated billing, revenue leakages and difficulties in revenue collection among the challenges requiring urgent attention.
The coalition also demanded greater transparency regarding the financial implications of the proposed subsidy phase-out. It said Nigerians should receive clear information about the current annual cost of the subsidy, the savings expected from its removal and the likely effect on electricity tariffs.
It further urged the government to explain how the policy could affect different sectors of the economy, including households, agriculture, manufacturing and trading. The coalition also called for details of measures that would protect vulnerable electricity consumers from the impact of possible tariff increases.
The OCSC maintained that the benefits of Nigeria’s independence should extend beyond political freedom. It said citizens should also experience economic opportunities, improved living conditions, access to essential services and decent livelihoods.
The coalition stated that Nigerians deserved reliable and sustainable electricity at a cost they could reasonably afford. It also called on the Federal Government to sustain recent improvements in electricity supply while ensuring that affordability remains part of the country’s power-sector priorities.
The group acknowledged reported improvements in electricity supply in Osun State and other parts of Nigeria. It commended the Federal Government and the Minister of Power, Chief Joseph Olasunkanmi Tegbe, for efforts toward improving the nation’s electricity situation.
However, the coalition urged the government to consolidate those improvements while addressing the underlying challenges that continue to affect the electricity sector.
The OCSC said the country’s 66th Independence Anniversary provided an opportunity to reflect not only on Nigeria’s political journey but also on the economic conditions of its citizens.
It stressed that meaningful independence should translate into greater economic dignity and access to essential services, including dependable and affordable electricity.
The coalition therefore urged the Federal Government to carefully consider the social and economic consequences of the proposed subsidy phase-out and engage Nigerians transparently before implementing the policy.
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