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Directs NERC on immediate reversals
BY EDMOND ODOK, ABUJA – With the threat of an industrial action by Nigeria Labour Congress (NLC) up in the air, the Federal Government has directed the Nigerian Electricity Regulatory Commission (NERC) to revert all tariffs to the pre-December 2020 status.
According to the Minister of Power, Mr Saleh Mamman, NERC is to ensure all Electricity Distribution Companies (DISCOs) in the country comply immediately with the directives.
Senior Special Adviser, Media and Communications to the Minister, Mr Aaron Artimas, said the decision was to promote a constructive conclusion of the dialogue with the Labour Centres (through the Joint Ad-Hoc Committee).
A statement by Artimas in Abuja on Thursday quoted the Minister as saying; “I have directed NERC to inform all DISCOs that they should revert to the tariffs that were applicable in December 2020 until the end of January 2021 when the FGN and Labour committee work will be concluded.
“This will allow for the outcome of all resolutions from the Committee to be implemented together.”
Obviously reacting to public outcry that has trailed the reported 50 per cent increase in electricity tariff nationwide, the Minister said; “I would like to affirm that these reports are inaccurate and false. It is unfortunate that these reports have led to confusion with the public.
“On the contrary, the Government continues to fully subsidise 55 per cent of on-grid consumers in bands D and E and maintain the lifeline tariff for the poor and underprivileged.
“Those citizens have experienced no changes to tariff rates from what they have paid historically, aside from the recent minor inflation and forex adjustment. Partial subsidies were also applied for bands A, B and C in October 2020.”
Insisting that all efforts were geared towards mitigating the adverse effects of COVID-19 and offering more targeted interventions for Nigerians, Mamman assured that the Federal Government and the Labour Centres robust engagements would yield positive results about the electricity sector through a Joint Ad-hoc Committee.
He said the committee, led by Mr Festus Keyamo, Minister of State for Labour and Productivity and Co-chaired by the Minister of State for Power, Mr Goddy Jedy-Agba, has made lots of progress in the ongoing talks that would be concluded by January ending.
The statement further said; “Some of the achievements of this deliberation with Labour are the accelerated rollout of the National Mass Metering Plan and clampdowns on estimated billing.
“Improved monitoring of the Service-Based Tariff and the reduction in tariff rates for bands A to C in October 2020 (that were funded by a creative use of taxes).”
“The administration is committed to creating a sustainable, growing and rules-based electricity market for the benefit of all Nigerians.
“The administration and the Ministry of Power will also continue to devise means to provide support for vulnerable Nigerians while ensuring we have a sustainable NESI,” the statement said.
However, the minister said the regulator must be allowed to perform its function without undue interference in order to ensure effective service delivery in the nation’s power sector.
For him, government would not shirk in its responsibility to provide policy guidance and enabling environment for the regulator to protect consumers and the investors to engage directly with consumers.
