Nigerian government approves 50% electricity subsidy for public hospitals

The Federal Government has announced it will subsidize electricity costs for public hospitals, approving a 50% subsidy on electricity consumption nationwide.

Minister of State for Health and Social Welfare Dr. Tunji Alausa announced the subsidy on Thursday, stating that it aims to reduce the operational costs of public hospitals and ease the burden on patients.

The subsidy follows Energy Minister Adebayo Adelabu’s previous pledge to support hospitals and universities, even those using Band-A feeders.

However, Adelabu stressed that private businesses operating in these institutions would not be subsidized, stressing the need to measure and differentiate between actual use of the institutions and commercial activities.

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“We know they are development institutions, they are social institutions. But inside the health and education institutions, there are private businesses hiding underneath them. These people charge commercial fees to their customers and they expect to get subsidies because they are located within the territory of these institutions.

“We say no, do proper research and measure everyone. For those who are really related to health and education, we are ready to subsidise them, even if they are in Group A. We are collecting data, DisCos will collect a certain amount and the government will pay the rest. But we have to get proper data so that we are not subsidising private businesses who charge their customers commercially. That would be unfair and unfair advantage,” he said.

The government’s move is seen as a relief for public hospitals struggling to pay their electricity bills, but private businesses within these institutions have to cover their own costs. The subsidy is part of an effort to support essential social institutions and ensure they can continue to provide essential services without undue financial stress.

Nigerian government approves 50% electricity subsidy for public hospitals first appeared on Latest Nigeria News | Headlines from Ripples Nigeria.