President Bola Tinubu has instructed all ministries, departments, and agencies (MDAs) to fully disclose electricity subsidy costs in the 2026 budget, specifying how costs are shared among federal, state, and local governments.
Tanimu Yakubu, Director-General of the Budget Office, said subsidies must be transparent, tracked, and properly funded to prevent hidden debts or liquidity crises in the power sector. He emphasized that any affordability interventions must have clear, enforceable funding responsibilities.
The President also directed that only projects ready for implementation and properly costed will be considered for the 2026 budget, with MDAs required to demonstrate measurable outcomes and clear funding sources.
Yakubu added that the fiscal responsibility framework will be reviewed to improve spending discipline, align budgets with economic realities, and ensure subsidies are fairly shared among all tiers of government.
