The Minority Caucus of the House of Representatives has appealed to the Federal Government to urge the Nigerian Electricity Regulatory Commission to cancel the recent rise in electricity tariff nationwide.
The NERC recently authorized a 300 percent tariff increase for Band A consumers, allowing power distribution companies to raise electricity prices for urban residents from N68 to N225 per kilowatt-hour starting from April 1, 2024.
In a statement released on Friday in Abuja, Minority Leader of the House, Kingsley Chinda, described the increase as “cruel and wicked”.
The statement read, “We urge Mr President, Bola Tinubu to request the electricity regulator, NERC, to reverse this decision and prioritize the welfare of the people.
“Open conversation and inclusive decision-making processes are crucial to tackle the root causes of the energy sector’s inefficiencies and ensure long-lasting solutions that benefit all stakeholders and not continuous and persistent tariff increases.
“We demand increased accountability and transparency in the management of resources within the electricity sector. Citizens have the right to request efficient service delivery and fair pricing methods that align with their economic realities.”
The caucus also observed that “The increase, which is over 200 percent higher than the rate of inflation, completely ignores the struggles of ordinary citizens, who are dealing with the negative effects of the removal of oil subsidy, soaring inflation, unemployment, and inadequate access to basic amenities.”
The statement further stated, “We note that immediately after the announcement of the tariff increase, NERC claimed that the increase affects only twelve percent of electricity consumers who receive a minimum of 20 hours of electricity a day. The truth has become clear that this is a blatant lie.
“The increase, based on data provided by the DISCOS, affects all electricity consumers. This habitual use of deceit and outright lies clearly tarnishes the image of the government and undermines the trust and confidence of the population in the government.
“The timing of this tariff increase, amid existing economic challenges, is not only insensitive but also harmful to the well-being of Nigerians. It further highlights the disconnect between policymakers and the realities faced by the masses of our people.”
The minority caucus also reminded the highest government authority that in other countries, leadership works to safeguard the interests of their citizens, saying, “In other parts of the developed world, governments are doing everything possible to protect citizens against the harmful effects of the pandemic on economies.
“For example, in the United Kingdom, where anti-subsidy advocates campaign against subsidies, the Government has provided nearly 40bn ($50bn) in energy subsidies to help households and businesses deal with the surge in power bills after Russia’s invasion of Ukraine.”
Citing Reuters, the caucus argued that “Between the introduction of the schemes in October 2022 and March 2023, almost £21bn was spent on the Energy Price Guarantee program that supports households with their bills, the government said.
The Energy Bills Support Scheme gave homes £12 billion, providing £400 to help with winter bills.
Businesses and organizations got around £5.5 billion from the Energy Bill Relief Scheme, and almost £1 billion went to other programs.
In the United States, the government is giving a thirty percent tax credit for electric vehicle chargers.
In Nigeria, the government spending doesn't have a real impact on households or ordinary citizens, according to Chinda.