The Federal Government of Nigeria has approved a significant 50% subsidy on electricity costs for public hospitals nationwide. This decision was announced by Dr. Tunji Alausa, the Minister of State for Health and Social Welfare, during a recent visit to the National Neo-Psychiatric Hospital in Barnawa, Kaduna State.
Dr. Alausa emphasized that this subsidy is part of a broader effort to reduce operational costs for healthcare facilities, which have been struggling with rising electricity bills.
He noted that the government recognizes the challenges faced by hospitals and universities in managing their energy expenses, particularly after the recent increase in electricity tariffs.
Dr. Alausa also unveiled several projects at the hospital, including an electronic health records system and alternative power supply solutions, such as a solar-powered borehole.
He also indicated plans to rename public hospitals to "Specialist Hospitals" to enhance service delivery and destigmatize mental health facilities.
Minister Adebayo Adelabu of the Power Ministry previously stated that while the government is committed to supporting public healthcare institutions, it will not extend subsidies to private businesses operating within these facilities.
He highlighted the need for accurate metering to ensure that subsidies are not misallocated to commercial entities that charge patients for services.
The recent subsidy approval comes in response to widespread complaints from hospitals about exorbitant electricity bills, which have reportedly surged from less than N100 million to approximately N280 million for some institutions.
The Ministry of Power has yet to provide detailed information regarding the implementation of this subsidy arrangement.
