The Federal Government has announced plans to introduce electricity tariffs for public institutions benefiting from government-funded solar power projects.
The initiative, unveiled during the launch of the Renewable Assets Management Company (RAMCO) by the Rural Electrification Agency (REA), is aimed at ensuring the long-term maintenance and sustainability of solar infrastructure across public institutions.
REA Managing Director Aliyu Abba Abubakar said the decision followed assessments showing that some earlier solar projects had deteriorated because there were no sustainable mechanisms for maintenance after completion.
Under the new arrangement, beneficiary institutions will pay for the electricity they consume. The funds will be managed through RAMCO and used to maintain the facilities and finance major equipment replacements when necessary.
Abubakar explained that RAMCO would not operate primarily as a profit-making company but would provide a sustainable financial structure for managing publicly funded renewable-energy assets.
He said the government had invested about ₦263 billion in solar-hybrid power generation under the Energising Education Programme, covering 22 federal universities and three teaching hospitals.
Since the programme began in 2017, about 82MW of solar-hybrid capacity has been deployed, while more than 150MW is either under construction or planned through various renewable-energy programmes.
However, an assessment of seven facilities delivered during the first phase of the programme found that only three were still in good or usable condition.
Power Minister Joseph Tegbe said the tariff would be designed to be affordable and sustainable, adding that the policy would help transform government-funded renewable-energy infrastructure into assets capable of supporting themselves financially.
He also said the government was working to strengthen the national electricity grid, with a target of increasing the amount of electricity it can reliably wheel from about 5,000MW to 6,500MW by the end of 2026, and 8,000MW by the end of 2027.
The Minister of Education, Maruf Tunji Alausa, said at least 15 universities had already been solarised, stressing that the priority was now to ensure the proper operation, maintenance and preservation of the infrastructure.
The new tariff system is therefore expected to shift public institutions away from relying solely on government funding for the maintenance of solar power projects.

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