The recent announcement by the Nigerian Electricity Regulatory Commission (NERC) of a downward review in electricity tariffs for customers under Band A feeders has sparked widespread criticism from various quarters.
The move, which saw tariffs slashed from N225 to N200.6 per Kilowatt-hour, has been met with skepticism and disappointment, with many Nigerians expressing dissatisfaction and demanding a complete reversal of the recent tariff hike.
Organized labor groups, civil society organizations, and ordinary citizens have condemned the decision, arguing that the reduction is insignificant and fails to address the concerns of electricity consumers amidst the country’s economic challenges. The timing of the tariff reduction, coming just weeks after a controversial 240% tariff hike for certain categories of customers, has raised eyebrows and fueled suspicions about the motives behind NERC’s decision.
The Nigerian Labour Congress (NLC) has described the tariff reduction as tokenistic and inadequate, emphasizing that it falls short of the expectations of Nigerian workers. Benson Upah, a spokesperson for the NLC, criticized the move as mere tokenism and called for a total reversal of the April tariff hike, as well as a comprehensive review of the power sector privatization.
Similarly, Uket Obonga, the national secretary of the Network for Electricity Consumers Advocacy of Nigeria, accused NERC of confusion and incompetence, alleging that the commission had failed to follow due process in issuing the tariff order. He criticized NERC for its lack of transparency and accountability in decision-making and called for greater stakeholder engagement in tariff-setting processes.
Ewetumo A A, a retired staff member of the defunct Power Holding Company of Nigeria (PHCN), expressed disappointment with NERC’s handling of the tariff issue, describing the reduction as shallow and misdirected. He highlighted the lack of feasibility studies and planning in the power sector and called for a more holistic approach to addressing Nigeria’s energy needs.
Eze Onyekpere, the Lead Director of the Centre for Social Justice, echoed similar sentiments, labeling the tariff reduction as a “silly manoeuvre” by NERC. He emphasized the need for a return to the status quo ante and called for greater transparency and accountability in the regulation of electricity tariffs.
Overall, the announcement of the tariff reduction has generated widespread discontent and calls for action, underscoring the deep-seated concerns about the state of Nigeria’s power sector and the need for meaningful reforms to address the challenges facing electricity consumers.
