House of Representatives Calls for Suspension of New Electricity Rates
The House of Representatives has urged the Nigerian Electricity Regulatory Commission (NERC) to halt the rollout of the newly proposed electricity tariffs. This directive came during a plenary session on Tuesday, following a motion of urgent public importance brought by Nkemkanma Kama, a Labour Party lawmaker from Ebonyi State.
The move to increase charges was initiated on April 3 when NERC announced a hike in electricity tariffs for customers categorized under Band A, who benefit from up to 20 hours of electricity daily. According to the new plan, these customers would see their rates soar from N66 to N225 per kilowatt starting immediately from the date of announcement.
The push for higher tariffs has been met with resistance. Defending the decision before the Senate Committee on Power, Adebayo Adelabu, the Minister of Power, explained that the federal government is no longer in a position to maintain power subsidies. Adelabu emphasized the need for substantial investment, approximately $10 billion annually over the next decade, to rejuvenate the country’s power infrastructure—a sum the government contends it cannot provide without adjusting tariffs.
Adelabu further highlighted that the revised tariff structure is beginning to draw investor interest in Nigeria’s power sector, deemed essential for its revitalization. Despite these arguments, the legislative call to suspend the new tariffs reflects widespread concern over the potential economic impact on consumers already grappling with financial pressures.
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