The Federal Government has approved a 50% electricity subsidy for public hospitals nationwide, aiming to ease the operational costs and reduce the financial burden on patients. The announcement was made by the Minister of State for Health and Social Welfare, Tunji Alausa, on Thursday at the National Neo-Psychiatric Hospital in Barnawa, Kaduna State.
Minister Alausa explained that the subsidy is intended to lower running costs for public hospitals, which in turn is expected to benefit patients by alleviating some of the financial pressures associated with healthcare. In addition to the electricity subsidy, Alausa revealed plans to rename these hospitals as Specialist Hospitals to enhance the scope and quality of healthcare services provided.
Alausa emphasized the need to ensure that the subsidy is directed appropriately. He explained that while public hospitals and educational institutions should receive this support, private entities operating commercially within these institutions should not benefit from the subsidy. The Minister highlighted the government's commitment to ensuring that only genuine health and education-related entities receive the financial aid.
“We understand that these institutions are vital for development and social welfare,” Alausa said. “However, private businesses operating within them and charging customers commercially should not receive subsidies. We are conducting thorough audits to ensure that the subsidy benefits only the appropriate entities. The Distribution Companies (DisCos) will collect a portion of the electricity costs, with the government covering the remaining balance. It is crucial that we gather accurate data to prevent any misuse of this support.”
The initiative is part of broader efforts by the government to improve the efficiency and effectiveness of public healthcare services across the country.
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