The Federal Government has warned Nigerians that they will be thrown into total darkness if they don’t accept the hike in electricity tarrif.
The Minister of Power, Adebayo Adelabu, issued the warning on Monday when he appeared before the Senate Committee on Power at an investigative hearing over the recent electricity tariff hike by the Nigerian Electricity Regulatory Commission (NERC).
Adelabu revealed that if the planned increase in electricity tariffs does not go into force, there will be a complete blackout over the nation in the following three months. His admonition came after the Senate committee, chaired by Senator Enyinnaya Abaribe, rejected the proposed tariff regime.
Adelabu said, “The entire sector will be grounded if we don’t increase the tariff. With what we have now in the next three months, the entire country will be in darkness if we don’t increase tariffs.
“The increment will catapult us to the next level. We are also Nigerians, we are also feeling the impact.”
According to Adelabu, the government’s failure to pay the outstanding N2.9 trillion subsidy is the result of scarce resources; as a result, different actions are required to maintain the sector. He urged the legislators to support the procedure of repaying the debt due to operators throughout the production, transmission, and distribution value chains.
However, the Senate Committee on Power, chaired by Senator Enyinnaya Abaribe, asserted that Nigerians, who are already facing extreme financial difficulties, could not be forced to bear yet another exorbitant price increase for a basic good like power. He bemoaned the state of Nigerians and requested that the minister and other influential figures in the field look at other possibilities.
Palliative care would have been offered during the procedure, according to Senators Simon Lalong (Plateau South) and Adamu Aliero (Kebbi Central), who stated that no consultations were conducted prior to the tariff rise.
The Committee Chairman, Abaribe, stated, “What Nigerians wanted was a solution to the issues and ways to ensure liquidity in the sector.”
He also expressed his displeasure at the “ZIGLAKS” company’s disappearance, claiming that it had been paid N32 billion over the course of 20 years to meter Nigerian power users, in relation to the failed agreement to provide prepaid meters for the country’s citizens.
The Nigerian Electricity Regulatory Commission (NERC), the Manufacturers Association of Nigeria (NAN), the Association of Power Generation (Gencos), and the Electricity Distribution Companies (DisCos) were among the other parties that presented at the investigation hearing.
More stakeholder interaction and public involvement are required in the decision-making process related to power rates. The government must protect the power industry’s financial stability, but it also has an obligation to look out for the interests and welfare of its citizens, particularly the groups most at risk from price hikes. The concepts of transparency, accountability, and inclusivity are crucial in directing the development and execution of policies within the energy industry.
Striking a careful balance between economic needs and social equality is crucial as Nigeria struggles to decide whether to accept increases in energy tariffs or face complete darkness. To tackle the underlying issues facing the power sector and protect the interests of all parties involved, practical solutions are necessary. Nigeria would never be able to fulfill its dream of offering all of its people access to cheap, dependable power without working together, talking, and working together.
