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Stabilise Power Supply Before Tariff Reduction, FG Told
Customers of the Power Holding Company of Nigeria (PHCN) yesterday in Lagos urged the Federal Government to work towards achieving stable power supply in the country before embarking on tariff reduction.
The customers told newsmen that government should tackle power generation and distribution before talking of effecting a reduction in tariffs.
The Presidential Task Force on Power had on Sunday said that reduced electricity tariffs would be announced by the Nigerian Electricity Regulatory Commission (NERC) in April.
A statement signed by Mr Abimbola Agboluaje, Head Media and Communications of the task force, stated that the new tariff would reduce the cost of electricity by 65 per cent.
“The poorest Nigerians pay more than N80 per kwh, burning candles, kerosene and firewood while the majority of Nigerians pay N50 to N70 per Kwh on generators and manufacturers pay between N45 and N60 per kwh on diesel or LPFO generation, using larger generators,” the statement stated.
In his reaction, Alhaja Folami Adisa, Managing Director, Folly-Dee Frozen Foods, Lagos, said that what the nation needed at the moment was constant power supply and not a reduction in electricity tariff.
Adisa said that many companies had relocated due to erratic power supply, adding: “even at the moment, if the cost of electricity goes up by 100 per cent, many Nigerians will be willing to pay provided electricity is constant.”
Mr Francis Andrew, a civil servant, said that government government should look inward in solving the problems in the power sector before embarking on tariff reduction.
Also, Mr Ambrose Francis, a consultant, said that it was a good decision for the government to consider reduction of electricity tariff, adding that at present, Nigerians were paying high rate on electricity consumption.
Francis said that a lot of PHCN billings were faulty, saying that it should be corrected first before the commencement of the privatisation programme.
In her comment Mrs Florence Odumosu, a hairdresser said reduction in tariff would attract private electricity companies to invest in the power sector with good rates, but insists that “Let there be constant supply before talking about reduction in tariff. The general cost of electricity will reduce if there is constant power supply.
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