Electricity hike: Experts urge FG to review 300% tariff increase
A power expert, Mr. Chinedu Bosah, has urged the Federal Government to review the 300 percent increase in electricity tariffs recently introduced by the Nigerian Electricity Regulatory Commission.
Bosah, National Coordinator, Coalition for Affordable and Regular Electricity (CARE), made the appeal in an interview with the newsmen on Sunday in Lagos.
According to him, a comprehensive review of energy policies will ensure affordability and sustainability for all Nigerians.
He, however, said that the 300 percent tariff hike was not consumer-friendly and therefore urged labour unions to open discussion on it with the government.
He also urged the government to reconsider its decision to raise gas prices, saying it would ultimately increase the cost of electricity for consumers.
Bosah emphasised the burden placed on Nigerian working-class families by successive policy decisions, noting that the hike could add to the economic challenges in the country.
According to him, private power companies and the government should find waysto address challenges in electricity generation, transmission, and distribution.
Also, Dr. Akinrolabu Olukayode, Chairman of the Customer Consultative Forum of Festac/Satellite Town, described the tariff hike as detrimental to consumers’ living standards.
Olukayode said that there was a need for proactive government investment in the power sector to improve infrastructure and service delivery.
He highlighted the challenges faced by consumers due to frequent power grid collapses and the reliance on expensive fuel for backup power generation.
Olukayode also condemned the increase in gas prices, arguing that it would further burden consumers already struggling with rising costs.
He suggested alternative policies, such as selling gas in local currency to boost revenue and alleviate pressure on consumers.
Olukayode called for a restructuring of the energy sector to allow regions/states more control over their resources.
The expert warned of the dire consequences of continued tariff hikes and called for measures to protect consumers from further economic hardship.
Supreme News reports that on April 3, Mr Musiliu Oseni, the Vice Chairman of NERC, announced an increase of 300 percent in electricity tariff for Band A consumers in the country
Oseni said the increase would only affect 15 percent of the electricity customers in the country.
Accordingly, power distribution companies (DisCos) will be allowed to raise electricity prices to N225 ($0.15) per kilowatt-hour from N68 for urban consumers this month, effective April 1.
