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Increase in Electricity Tariffs will rubbish the New National Minimum Wage-Prof. Sabitu Olagoke


The Nigerian Electricity Regulatory Commission(NERC) is reported to have alerted Nigerians of the imminent increase in electricity tariffs by April 1.


Even though the NERC has reassured the people that there would no longer be anything of such, the Power Distribution Companies in the country have vowed to go on with the increase come April.

This has attracted condemnation from millions of Nigerians, who insist that they have been paying for darkness in the past few years. With the signing into law of the Finance bill by President Muahmmadu Buhari, Nigerians doubt the sincerity of the NERC.

In this interview, the Founder, Spiritual Head and Grand Imam of Shafaudeen-in-Islam Worldwide, Prof. Sabitu Olagoke insists that the imminent increase would rubbish the new national minimu wage of N30,000. Excerpts :

Considering the bad economy and the myriads of challenges the country is contending with, what do you think are the implications of an increase in electricity tariffs ?

The first attempt that led to the unbundling of the power sector, whereby the generation, transmission and distribution companies, while retaining the linkage, were put under different managements for the purpose of effectiveness.

The present arrangement would have been the very best of policy , but unfortunately, the reverse at the consumer end is the case.

With corruption in place, kleptocracy and poverty everywhere the nation would continue to embarrassingly exist, even without satisfying the home need.

The issue of the increase in tariffs is viewed in some quarters as daylight robbery, if we are to consider the following :

The characteristic epileptic supply of electricity.The inability of the Distribution companies to curtail or control estimated billing.

The tariff increase itself is not in line with the economic realities of the country.

The new tariff regime which would commence in April, would not only bring about the usual hardships to the consumers, but will also rubbish the new minimum wage scheme and further impoverish the people, most especially the civil servants and pensioners, whose pensions are always delayed or unpaid for several months.

Consumers would carry the burden, hence there is the need for the NERC to intervene holistically, by putting the interest of the consumers in mined.

There is also the need for the NERCto update itself with the purpose of effecting impactful corrections on the issue such as 1) DISCO capacity

2)estimated billing 3) metering problems and challenges. 4) Technical losses question.

The people at the grassroots level would feel the pinch most. The tariff increase policy is therefore ill timed.








If eventually they have their way, would the services of the DISCOs be commensurate with the new tariffs in getting the power sector back on track ?

Generally speaking, the idea of increase in tariffs is another blow to the economy, considering the signing into law of the finance bill by the President, the termination of the Npower program comprising of more than 200,00 graduates and the discontinuance of the school feeding program recently, due to what government perceives to be corruption in the system.

The NERC established the Meter Asset Provider(MAP) to provide metering services that shall be responsible for meter financing, meter procurement, supply, installation, maintenance and replacement processes.

If MAP is efficient, the people’s demand and expectations are expected to be met in the following crucial areas :

Bridging of the huge metering gap, which has almost made consumers to lose hope in the electricity provider’s services..Improved electricity supply to the satisfaction of the consumers.Prompt attention to trouble shooting areas with timely attention to consumers complaints.Comprehensive sensitization and enlightenment programs on the rights of consumers to have access to uninterrupted electricity.There is the need for the Federal Government to carry out forensic audit of the unbundled power Generation, Transmission and Distribution companies, to ensure effective management, technical efficiency and regular supply of power at sustainable capacity level.

Above all, there is the need to advice Government to be passionate about the people’s welfare and comfort, if it is to achieve in the areas of promotion of inclusive society.

It must therefore settle all outstanding salaries owed its workforce for the people to be able to pay the electricity consumed with ease.

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