The Minority Caucus of the House of Representatives strongly opposes the recent surge in electricity tariffs by the Nigerian Electricity Regulatory Commission (NERC), condemning it as callous and unjust.
The caucus leader, Kingsley Chinda, stated in Abuja on Friday that the sudden increase, burdening an already struggling populace, worsens economic hardships and widens inequality.
Chinda emphasized that the steep hike, exceeding two hundred per cent above inflation rates, disregards the challenges faced by ordinary citizens amidst subsidy removal, soaring inflation, unemployment, and inadequate access to essential services.
He criticized NERC’s claim that the hike affected only twelve percent of consumers, stating that data from electricity distribution companies (DISCOS) revealed its impact on all consumers, labeling such deceit as damaging to government credibility.
The caucus leader criticized the timing of the tariff hike amid economic difficulties, highlighting the disconnect between policymakers and citizens’ realities.
He contrasted Nigeria’s lack of subsidy support with other nations like the UK and the US, which provide significant energy subsidies and support schemes for households and businesses.
“Elsewhere in the global north, governments are doing all they can to protect citizens against the adverse effects of the pandemic on economies. In the United Kingdom, for example, where anti-subsidy proselytisers preach against subsidies, His Majesty’s Government has “paid almost 40 billion pounds ($50 billion) in energy subsidies since it began to help households and
“According to the global news agency Reuters, between the launch of the schemes in October 2022 and March 2023, nearly 21 billion pounds was spent on the Energy Price Guarantee (EPG) programme that supports households with their bills, the government said.
“A further 12 billion pounds was paid under the Energy Bills Support Scheme, which offered homes payments of 400 pounds towards their bills over the winter months. Businesses and other organisations received about 5.5 billion pounds under the Energy Bill Relief Scheme, and almost 1 billion pounds was spent on other programmes”.
“Also, in the United States, the government is subsidising (by way of tax credit) thirty percent off the cost of chargers for electric vehicles.
“Not here in Nigeria, where the government spends money on frivolities with no real economic impacts on households or on the lives of ordinary citizens. Here, the directive principle of state policy is ‘go and die.’
Chinda urged President Bola Ahmed Tinubu to intervene and urged NERC to reverse the decision, emphasizing the need for transparent dialogue and inclusive decision-making in addressing energy sector challenges.
He called for enhanced accountability and transparency in resource management within the electricity sector, advocating for fair pricing mechanisms aligned with citizens’ economic circumstances.
In solidarity with the Nigerian people, the caucus demanded immediate action to alleviate the burden imposed by the tariff hike.