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Halt Proposed Electricity Tariff Hike, ActionAid Tells NERC

As Nigerians groan under economic hardship amid frightening insecurity, a non-governmental organisation working to eradicate poverty in Nigeria, ActionAid Nigeria (AAN), yesterday, demanding a halt of alleged moves by the Nigerian Electricity Regulatory Commission (NERC), to increase electricity tariff on September 1, 2021.
This was contained in a statement with the subject, ‘Halt the Proposed Electricity Tariff Increment – ActionAid Nigeria Tells NERC’ signed by the Country Director, AAN, Ene Obi, where it cautioned that the increase of electricity tariff will be ‘double tragedy’ for Nigerians who are still dazed with increase in price of foodstuff and other commodities and services, whereby making daily survival a herculean task, and if government goes on with the proposed September 1 date for electricity tariff increment it will not be really welcomed and acceptable by Nigerians.
The statement reads in part, “The increase in electricity tariff is not only ill timed but insensitive to the precarious plight of Nigerians whose lean disposable incomes are already decapitated.
“ActionAid’s position is hinged on the premise that previous hike in electricity tariffs had not translated to effective and regulatory strategies to manage the impact of such hikes on macro-economic indices affecting end-users that are currently economically crippled and trapped.
“More than a 100million Nigerians are living below the poverty line.
“Instead of this tariff hike, NERC should compel all the actors in Nigerian Electricity Supply Industry to ensure increased efficiency in the power sector, including managing energy loses to make erratic power supply a thing of the past as a way of boosting productivity and Nigeria’s GDP.
“We urge NERC to rescind this decision and ensure that the Nigerian Electricity Supply Industry improve its performance before considering a tariff increase.”
The statement also cautioned that, “If this purported decision is not reconsidered, the cost of production of basic items produced in the country will increase and this may also lead to job losses in the already ailing medium and small-scale industries in Nigeria. Investors who rely largely on power supply will obviously not be able to break even.
“To remain afloat, they will have to shift the burden of increased cost of production to the final consumers of their products and services in an economy already choked by inflation.”
The statement added, “ActionAid Nigeria, therefore, calls on the Nigerian Electricity Regulatory Commission (NERC) and the Federal Government, to halt the planned electricity tariff increment and uphold its values of transparency, fairness, and accountability by ensuring continuous consultation with the masses while protecting consumer rights.”
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