Reacting to the outcry of Nigerians over the increased tariff of power supply, the Vice President, Yemi Osinbajo on Thursday explained that shortage in gas supply, drop in power generation and insufficient fund of the Generation Companies (GENCOs) were the cause of the predicament.
The VP gave this explanation in his key note address during the maiden edition of the National Forum on the economy with the themed: ‘ National Economy: The Way Forward’ said generation companies’. He reiterated that inability to supply power to consumers was as a result of short supply in gas and the drop in power occasioned by lost in line of transmission.
He said that for this reason Generation Companies, GENCOs invariably requires increase in electricity tariff to enable them meet demand for power.
“There is no way the GENCOs can supply enough power to consumers without generating enough fund to drive the necessary processes that will bring about adequate power generation and supply.”
Osibajo who spoke on diverse issues concerning Nigeria’s economic growth also revealed plans by the President Muhammadu Buhari led government to propel the growth of the economy through private sector stimulation and diversification of the economy to the non-oil sector.
He stated that government plans to make utmost use of its backward integration initiative that will propel and project the growth of the economy and bring to live industries that will drive the development and growth of Nigeria.