Electricity Pricing, Electricity Access and Household Welfare in Lagos State, Nigeria: A Household Survey

Abstract

This research work investigated Electricity Pricing in Relation to Households in Lagos State, Nigeria. The population covered household in three specific locations which include Ayobo, Iyana-Ipaja and Ikeja in Lagos State of Nigeria. A sample size of 383 was determined using Cochran Formula. Statistical methods used were percentage and frequency tables for the study. The results of the analysis revealed that majority of the respondents are less familiar with cost/pricing method of electricity in Nigeria. The study also revealed that there is negative welfare effect of the recent pricing adjustment on households in the selected study areas. The study recommended that awareness campaign should be organized by the Electricity distribution companies and other stakeholders with the use of jingles, radio presentation or text messages to all household in their areas of operation to educate them on the pricing methods of electricity.