Following the quiet increment in electricity tariff by the 11 power Discos, wide condemnations have continued to rise against the ambush of unsuspecting Nigerian electricity consumers.
Reacting to the development in an interview, the Chairman, Nigeria Electricity Consumer Advocacy Network (NECAN), Tomi Akingbogun, said the tariff hike should be reversed considering the economic hardship across the country.
He said, “It is right for us to call for a reversal and we are demanding that it be reversed. The Abuja Electricity Distribution Company (AEDC), had confirmed the tariff hike while responding to a Twitter user on Wednesday, last week, claiming that it was based on the order of the Nigerian Electricity Regulatory Commission (NERC).
“Good day, please be informed that the increase in tariff is in compliance with NERC order,” the Disco stated.
However, this is not the first time they’ve done it. It has been a regular thing for several years and in those instances we’ve called for reversals.
Explaining more, NECAN chief said “The next thing you will hear is that they have modified the law or have changed the Multi Year Tariff Order to accommodate what they are doing. When we keep shouting they just ignore us, but I think the government needs to really take the public seriously.
“And the public too will have to stand up for their rights, because it will get to a point when they will push everybody to the extent that we will all rise on the streets. We’ve been trying to make sure that the masses are not squeezed to a point of no return.”
Akingbogun said NECAN held a lot of meetings with the power sector operators on why it was not in the interest of the masses to raise tariffs, but the position of consumers were ignored.
“It is really frustrating. How can someone on N30,000 minimum wage survive this increase in tariff in the kind of economy that is prevalent in Nigeria now? The increase has to be reversed for the benefit of the masses,” he stated.
On his part, a legal consultant and energy law advisor, Prof. Yemi Oke, explained that power tariff increases were meant to follow some laid down procedures, but stressed that this was neglected in the implementation of the recent hike.
He said, “Every increase in electricity tariff must follow a Multi-year Tariff Order. The year 2020 was the last order which speculated a bi-annual review to determine tariff increase.
“The MYTO- must be reviewed and specifically authorise tariff increase after following laid-down rules including wide consultations. All these have not been done.
“Even in my inaugural lecture, I captured this same anomaly in the previous tariff increases. This new one shows they’re determined to continue to take Nigerians for granted.”
Also, the President, Nigeria Consumer Protection Network, Kunle Olubiyo, said the Federal Government had eventually withdrawn subsidy on electricity tariffs.
He said the NERC had given the power distributors an open cheque to effect minor tariff reviews under the reflective tariff and service-based tariff schemes.
“It is on authority that I tell you that the Federal Government has finally withdrawn all manner of subsidies on electricity tariff for Band A category of consumers,” he stated.
He added, “The Federal Government in the selection of Band A category of electricity consumers felt that those of us on Band A should be able to afford any amount placed on tariff for electricity. This is confirmed and instructive. There is no gain for any institution to deny this reality.
“Under the reflective tariff and service-based tariff, as a condition precedent to increase in electricity tariff, the NERC has seemingly given the 11 electricity distribution companies an open cheque to carry out periodically, minor tariff adjustments.
“This is not minding the place of regular engagement and consultation, which in the past had turned out to be a smoke screen and just to fulfil all righteousness.”
Olubiyo stated that power consumers on Band A would have to pay more for electricity, as the increase in Band A tariff took effect from January 2023.
He said, “The major challenge before the regulatory institutions, as represented by NERC, is that the commission, more than ever before, needs to arise and wake up to its responsibility of effective monitoring of distribution licensees/electricity market, and further demonstrate the ability to be an incorruptible judge and impartial and fearless arbiter.”
