Reversal of the hike in electricity tariff will be a setback for the transformation of the energy sector to boost supply to Nigerians, Minister of Power, Adebayo Adelabu, said yesterday.

He appealed to Labour to see reason with the government.

Labour on Monday organised a one-day protest and picketed the office of the Nigerian Electricity Regulatory Commission (NERC) in Abuja and those of the distribution companies (DisCos) across the country.

Adelabu, who spoke to reporters at Aso Villa after the two-day Federal Executive Council (FEC) meeting, assured Labour that the demands placed before the government were being considered.

He said: “I don’t want us to go back to the situation we were in February and March when we had very low generation. We all felt the impact of this whereby the electricity supply was very low and every household, every company, and every institution, felt it. From the little reform that we’ve embarked upon since the beginning of April, we have seen the impact that electricity has improved and it can only get better.

“My appeal is that they should please not derail or distract our transformation plan for the industry. We have a documented reform roadmap to take us to our desired destination, where we’re going to have reliable, functional, cost-effective and affordable electricity in Nigeria. It cannot be achieved overnight because this is a decay of almost 60 years, which we are trying to correct.

“Nobody promised us or assured us that the road will be smooth. We knew it was going to be rough, but we must weather the storm, which is going to be temporary.

“It requires a lot of sacrifice from everybody; from the government’s side, from the people’s side, from the private sector side. So, we must bear this sacrifice for us to have a permanent gain.”

On April 1, NERC authorised a new tariff regime for Band A electricity consumers with a hike from N68 per kilowatt/hour to N225 kilowatt/hour.

Following public outcry, it was reduced to N206 kilowatt/hour.

But Labour insisted on a complete reversal before negotiations.

Adelabu acknowledged the rights of workers and Nigerians to protest and make demands.

He said: “We have heard the demands; we’re going to look at them. We’ll make further engagements and I believe we’re going to reach a peaceful resolution with the Labour because no government can succeed without the cooperation, collaboration and partnership of Labour unions.

“So, we welcome the peaceful protest and I’m happy that it was not a violent protest. They’ve made their positions known and the government has taken in their demands and we’re looking at them.

“But one thing that I want to state here is from the statistics of those affected by the hike in tariff, the people on the road yesterday (Monday), who embarked on the peaceful protests, more than 95 per cent of them are not affected by the increase in the tariff of electricity.

“They still enjoy almost 70 per cent government subsidy in the tariff they pay because the average cost of generating, transmitting and distributing electricity is not less than N180 today.

“So, when they say we should reverse the recently increased tariff, sincerely it’s not affecting them,” the minister said.

He appealed to Labour and the entire populace to be patient with the administration as it implements its power sector plan for efficiency.

FEC okays procurement of power sector equipment

Yesterday’s FEC approved the procurement of critical equipment to improve the electricity sector.

According to the minister, the three memoranda presented by his ministry got the nod.

Breaking down the approvals, he explained that the first is for the procurement of 10 transformers and 10 reactors for the Transmission Company of Nigeria (TCN) at $4.8 million and N102 million.

This, he said, would enhance the optimal performance of the national grid, reduce the risk of electrical shock and equipment damage, and protect personnel from the effects of high voltage.

The second approval is for the construction of a 93-kilometre transmission line at Oji River/9th Mile (Enugu State) for a 132 KV double circuit transmission line at $33.9 million and N10.1 million.

This project will stabilise the national grid and expand its capacity, in line with the national grid expansion plan and the Presidential Power Initiative to increase the end-to-end capacity of the national grid.

The third approval is for the supply and installation of 15 units of emergency restoration systems for 330 KV and 132 KV transmission lines, to enable the quick fixing of vandalised and damaged power infrastructure, valued at $14 million.

This is a response to the impact of vandalism on power transmission assets, particularly in the Northeast, where there has been a two-week blackout due to vandalism.

The Transmission Company of Nigeria (TCN) is working to fix the vandalised assets and restore normalcy to the region by the end of the month.

The emergency restoration system will ensure 24/7 uninterrupted power supply, and the government is committed to ensuring the stability, sustainability, and cost-effectiveness of power supply, as well as planning for future growth.

Overall, these approvals demonstrate the government’s commitment to addressing the challenges in the power sector and providing reliable power to citizens, which is critical for economic growth and development, the minister stressed. (The Nation)

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