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Home»News»ENERGY»Electricity Tariff Hike: Workers Picket NERC, Demand Reversal Of Power Sector Privatisation
ENERGY

Electricity Tariff Hike: Workers Picket NERC, Demand Reversal Of Power Sector Privatisation

National RecordBy National RecordMay 14, 2024Updated:May 14, 2024No Comments9 Mins Read
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Picketing
During the picketing in Abuja.
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By Our Reporters, with Agency reports

WORKERS under the aegis of the Nigeria Labour Congress (NLC) and the Trade Union Congress on Monday picketed the offices of the Nigerian Electricity Regulatory Commission (NERC) demanding for not only the reversal of the hike in electricity tariff but also the complete reversal of the power sector privatisation and recovery of all public electricity assets that were sold.

The protest is sequel to the recent announcement by NERC increasing electricity tariff across the nation from N65/kwh to N225/Kwh. Organised labour had during the May Day celebration rejected the tariff increase tariff and threatened to protest for a reversal.

In Abuja, members of the NLC and TUC picketed the headquarters of the NERC, the Ministry of Power and the Transmission Company of Nigeria (TCN), carrying placards with inscriptions such as: “We are not generator Republic,” “IMF, World Bank, leave Nigeria Power Sector alone”, “Let the poor breathe”, “Give us affordable and constant light”, among many others.

Comrade Joe Ajaero, NLC President, who also doubles as the General Secretary of the National Union of Electricity Employees (NUEE), while addressing newsmen said that the privatisation of the power sector was a ‘colossal failure’.

Comrade Ajaero said Nigerian workers demand the complete reversal of the power sector privatisation and the recovery of all public electricity assets because they were “sold cheap to largely inexperienced, technically deficient and financially challenged private investors.”

He added: “As workers, we are hit hardest by the increase in electricity tariff. Unlike business people, wage earning workers cannot adjust their income when the cost of utilities is increased. The stagnancy in wage amidst increases in electricity and refined petroleum products push workers over and beyond the limits of sanity and survival.

“Small and medium scale businesses which accommodate millions of workers in the informal economy is severely affected by the increases in energy cost. These have led to shutdown of businesses thus blooming Nigeria unemployment market.”

He therefore, said that Nigeria workers reject the recent increase in electricity tariff and the associated upgrading and downgrading of customers from one band to another.

Ajaero further called on government to respect the Sept. 2021 agreement with organised labour and which he said was reinforced in the 2023 agreement that government must halt further increase in the tariff of public utilities until certain conditions were met.

He said that this include the review of the privatisation exercise, de-dollarization of gas supply to electricity generation, distribution of pre-paid meters to all electricity consumers in Nigeria, among others.

The NLC president also noted that before the increase in electricity tariff, NERC ought to have called for a stakeholders meeting for proper consultation.

Mr Sanusi Garba, Chairman of NERC, commended organised labour for the peaceful demonstration in respect of issues affecting the power sector.

According to him, the management of NERC has noted the inputs from labour’s demands related to the affordability of the tariff hike.

“We have also listened to you and we have listened to the concerns of Nigerians. I want to assure you that we will make adequate representation on the policy side on the issue of affordability of tariffs.

“We also took note of your call for the diversification of energy sources and I will like to say that the Zungeru 700-megawatt power plant is already on,” he said.

In Lagos, other states

In Lagos, protesters picketed offices of NERC and DisCos. The State chairperson of the TUC, Comrade Gbenga Ekundayo, said during the picketing that the tariff hike has not only increased the financial burden of households but also compounded the challenges or businesses especially those in the manufacturing sector.

Chanting solidarity songs, workers carried placards with inscriptions such as, “Nigerian workers reject electricity tariff increase” among others.

“With production costs soaring, companies are left with no choice but to pass on these expenses to consumers or face the grim reality of shutting down operations.

“Consequently, this vicious cycle of inflation and unemployment threatens to plunge the economy into further turmoil,” Comrade stated, adding that there was need for urgent action to alleviate the burden on citizens and businesses, and steer the economy toward a path of sustainable growth and prosperity.

He said that the government must first reconsider its decision to hike electricity tariffs, taking into account the already precarious economic situation.

“Additionally, efforts should be made to stabilise the exchange rate to mitigate the adverse effects of currency fluctuations on the cost of living.

“Moreover, diversifying the energy mix by ensuring that state governments invest in alternative sources could help reduce reliance on the gained national grid and ultimately lower electricity costs in the long run.

“Furthermore, enhancing efficiency in the distribution and management of electricity resources can lead to cost savings that can be passed on to consumers,” he said as he also called for policies aimed at stimulating economic growth and job creation.

He said this was crucial in alleviating the financial strain on citizens.

“This includes incentivising investment, supporting small and medium-sized enterprises, and fostering a conducive business environment that encourages innovation and entrepreneurship.

“It is time for policymakers to prioritise the welfare of the people and implement measures that promote the affordability and accessibility of essential services like electricity,” Ekundayo said.

In her remarks, the Lagos State chairperson of the NLC, Comrade (Mrs) Funmi Sessi, said that the picketing was not just for workers, but Nigerians in general, as she stressed: “An injury to one, is an injury to all; this is an injury to Nigerians.”

According to her, the tariff hike was troubling, coming at a time when subsidy on petrol had been removed, which had affected people’s purchasing power.

“Yet, there is no salary increment; life is becoming unbearable and tough for everyone. We must rise up with one voice to say enough is enough,” she said.

Kebbi

In Kebbi State, workers say the increase in electricity tariff is “capable of destroying the economic prosperity of the nation”.

The state chairperson of the NLC, Comrade Murtala Usman, stated this when members of the NLC and the TUC picketed the offices of the Kaduna Electric Distribution Company (KAEDCO), and the NERC in Birnin Kebbi on Monday.

According to him, the increase in electricity tariff has negative dimensions multiple times.

“Manufacturers will increase prices of goods, transport fares will skyrocket, welders and other end users of electricity will be thrown out of business while many Nigerians will languish in darkness because of inability to pay the increase,” he warned.

Usman said that there was no nation in the world which did not subsidize electricity and petrol, adding that,” Nigeria is an oil producing country and is not an importer of electricity, we generate power domestically.

“God has endowed us with these resources in abundance, these are the rights of the citizens.”

He reminded the government that petrol and electricity were being generated by public funds and must be accessible to the citizenry cheaply and comfortably.

On the issue of proposed minimum wage of N615, 000, Usman, said the NLC and TUC considered many variables before arriving at the figure in view of the hyper-inflation in the country.

“We are here to peacefully picket the offices of KAEDCO and NERC for few hours to send signal to the government and the authorities concerned to rescind the decision after which the organised labour would chart the next course of action,” Comrade Usman said.

Enugu

In Enugu on Monday, the protesting members of NLC and TUC accused DisCOs of exploiting electricity users in Nigeria with their tariffs and high bills.

Union members, who protested and chatted solidarity songs at the EEDC office carried placards that read, “NERC and EEDC, Stop Electricity Tariff now”, “NERC Stop Banding electricity for Nigerians” and say “No to Hike in Electricity Tariff”.

Speaking during the protest, the State Chairperson of the TUC, Comrade Ben Asogwa, noted that many Nigerians were forced to pay for what they did not use through estimated bills by DISCOs.

Asogwa said that tariff increase was never solution to Nigeria ‘s problem stressing that Nigerians were currently faced with challenges of fuel subsidy removal and high cost of living.

He advised NERC and Enugu EEDC to stop the exploitation and reverse to status quo.

“In a country where there is price regulations and government agency will increase tariff to over 240 per cent. We have not seen such even when things add money, it is done geometrically. Tariff increase is not a benefit to Nigerians and we want NERC and EEDC to reverse to status quo.

“EEDC says it invested money into the system but are not making profit. Anybody that is not making profit in business, should leave and let other organisation come,” he advised.

On his part, NLC chairperson, Comrade Fabian Nwigbo, said organised labour was no longer comfortable with the hike in electricity tariff.

According to him, picketing of NERC and DisCos offices will continue nationwide until further notice.

He said: “We have come to register our grievances and we are coming back tomorrow; this place is going to be under lock and key until you remove all the bands.

“Nigerians are facing a lot of challenges already and now electricity tariff has been hiked to an unbearable price of N222 per unit.

“We are not going to tolerate bands in Nigeria or allow it in our country. Whether it is bands A or B, C or Z, we will not tolerate it.

“They said they are not working today because of Monday’s sit-at-home but by tomorrow, they will not work here until they remove the bands,” Nwigbo said.

NAN reports that the no official of the EEDC received the protesters as the head office on Okpara Avenue was under lock and key apparently because of the Monday Sit at Home in the state. (NAN)

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