Electricity Tariff Hike: Labour To Hold NEC Meeting Ahead Of Industrial Action

In response to the recent substantial increase in electricity tariffs announced by the Nigerian Electricity Regulatory Commission (NERC), the Organised Labour, encompassing the Nigeria Labour Congress (NLC) and the Trade Union Congress (TUC), is set to convene a National Executive Council (NEC) meeting.

Naija News reports that the meeting is a critical step ahead of the planned picketing of NERC offices, scheduled in protest against the hike.

With the ultimatum set by Organised Labour expiring on May 12, 2024, Labour’s actions are keenly awaited.

The National Deputy President of the TUC, Tommy Etim, told Punch newspaper that the NEC meeting is the standard procedure, indicating that more definitive actions could be expected following this gathering.

“The truth is that due process was not followed in the tariff hike. You cannot just announce a hike like that. It is not done anywhere. They should reverse the hike and call for stakeholders’ engagement,”  Etim explained.

The outcome of the NEC meeting will likely shape the course of action to address the discontent over the electricity tariff adjustments.

The NERC’s decision, publicized at a press briefing on April 3, 2024, has escalated electricity costs for Band A customers to N225 per kilowatt-hour, a sharp rise from the former rate of ₦68/kWh.

This 240 per cent increase follows the government’s removal of electricity subsidies for Band A customers, who represent about 15 per cent of the nation’s 12.82 million power consumers. The government argues that this adjustment will save ₦1.5 trillion.

Despite the government’s assurance that Band A customers will enjoy up to 20 hours of power supply daily, the tariff hike has met with widespread criticism from various quarters, including the House of Representatives, organised labour, and the Nigerian Bar Association.

The House has even called for an immediate suspension of the new tariff implementation.

The matter intensified during a Senate Committee on Power hearing, where the Minister of Power, in justifying the hike, warned of a potential nationwide blackout in three months unless the tariff increment was enforced.

However, the Senate Committee, chaired by Senator Enyinnaya Abaribe, stood against the new tariff regime.

Amidst these tensions, at the International Workers’ Day celebration in Abuja on May 1, leaders of the NLC and TUC, Ajaero and Festus Osifo, respectively, condemned the tariff increase.

They criticized the poor electricity supply and described the billing as “an extortion and daylight robbery against Nigerians.”