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NLC threatens fresh protest against power tariff hike

The Editor by The Editor
March 3 2025
in Business
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NLC threatens fresh protest against power tariff hike

The Nigeria Labour Congress (NLC) has vowed to mobilise workers and citizens for a nationwide protest if the Federal Government proceeded with its proposed electricity tariff hike, describing it as “economic violence against the working class and broader Nigerian populace.”

This came as the National Union of Electricity Employees (NUEE) warned the Federal Government against plans to hike electricity tariffs, saying Nigerians should not be paying for darkness.

In a communiqué issued at the end of its National Executive Council meeting in Yola, Adamawa State, on February 28, 2025, which was made available to journalists on Sunday, the NLC rejected what it called a “sham reclassification” of electricity consumers by the Nigerian Electricity Regulatory Commission (NERC).”

It accused the Ministry of Power and NERC of attempting to force consumers into higher tariff bands under the pretext of service improvement while, in reality, deepening economic hardship.

“The ruling elite, acting as enforcers of global monopoly capital, are determined to further deepen the misery of the Nigerian people through incessant tariff hikes, increased taxation, and relentless economic strangulation,” the statement read.

The NEC resolved that “any attempt to impose additional electricity tariffs would be met with mass resistance.” It mandated its “National Administrative Council to begin immediate mobilisation for protests,” warning that the government must not test the patience of the Nigerian people.

Beyond electricity, the NLC also expressed concerns over the recent 35 per cent increase in telecommunications tariffs.

While the congress acknowledged an agreement with the Federal Government to reduce the initial proposed hike from 50 per cent to 35 per cent, it remained skeptical of the government’s commitment to keeping its word.

The union further warned that if the new telecom tariffs, set to take effect on March 1, 2025, are implemented contrary to the agreed terms, it would enforce compliance using all necessary instruments.

The congress emphasised that Nigerian workers should not bear the brunt of corporate and government inefficiencies.

The NLC’s stance on electricity tariffs has been reinforced by workers in the power sector, who have also rejected the reclassification of consumers.

The electricity workers’ union described the move as an exploitative agenda designed to force Nigerians into paying more without any corresponding improvement in service delivery.

The union vowed to resist any attempt to hike tariffs and warned of disruptions in the sector should the government proceed with its plans.

The NUEE was reacting to a disclosure by the Minister of Power, Adebayo Adelabu, that the government was planning to regularise electricity tariffs in Bands A, B, and C in a bid to address disparities in the current billing system as well as attract more investments to the power sector.

NUEE said the minister’s statement on tariff has raised eyebrows, with many questioning whether this is the right priority or whether Adelabu has taken over the work of the Nigerian Electricity Regulatory Commission, which is statutorily saddled with the responsibility of regulation.

According to the union, the minister’s assertion that a tariff increase is necessary to boost liquidity in the power sector has sparked controversy, especially considering the existing challenges in the sector.

A statement by the acting General Secretary, Dominic Igwebike, stated, “The National Union of Electricity Employees, as a critical stakeholder in the power industry, cannot sit on the fence without stating our stance and proffering the best solution to this issue.”

According to the union, the justification given by NERC for the electricity hike in 2024 was that the hike was attributed to only Band A consumers who make up only 15 per cent of electricity consumers and utilise 40 per cent of the nation’s electricity consumption, with a promise that the hike would not affect the general public.

“We asked some salient questions in our publication of April 14, 2024: Who are the Band A consumers? What do they do? Who bears the brunt of the electricity hike?

“The general public is the one that will be most affected by this. They are the customers and end-users of the Band A products and services. The additional costs will be transferred to the common man, so they are indirectly being exploited, notwithstanding their dwindling purchasing power and increasing impoverishment,” the union said.

It asked that rather than prioritising a tariff review, shouldn’t the minister focus on improving the overall efficiency and reliability of the power sector?

While acknowledging the financial woes of the power sector, NUEE said it is appalling that Adelabu is more interested in increasing the poverty level rather than alleviating the same.

The PUNCH reports that the tariff hike proposed by Adelabu seeks to align tariffs for customers in the Band B and C categories with the N206/KWh rate paid by Band A customers.

However, this plan by the government was opposed by power consumers and members of the Organised Private Sector, who wondered why the government had continued to hike the cost of commodities in various sectors of the economy. – Punch.

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