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What NLC plans to do if FG, DisCos increase electricity tariff

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What NLC plans to do if FG, DisCos increase electricity tariff

The Nigeria Labour Congress (NLC) has threatened to call out workers on industrial action if the Federal Government, through NERC, and DisCos implement a proposed hike in electricity tariffs.

This was revealed by the NLC President, Ayuba Wabba, in a statement issued on Thursday.

According to the group, it is good to remind the Minister of Labour and Employment, Chris Ngige, about the   agreement reached between the Federal Government and the Organised Labour Committee on Electricity Tariff on September 28, 2020.

READ: CBN urges NLC and TUC to support its 5-year economic strategy

The meeting had agreed to freeze further increases in electricity tariff until the committee concluded its work and its report adopted by all the principals in the committee.

Reacting to the allegation that the 11 power distribution companies had received approval to slightly increase electricity tariffs with effect from September 1, Wabba dismissed the move, describing it as mere speculations.

He said, “We wish to draw your attention to the wave of speculation, especially as widely reported in the media that there are fresh plans to grant approval to electricity distribution companies to hike electricity tariff.

“We write to remind the Honourable Minister that the organised labour on September 28, 2020 through the Federal Government-Organized Labour Committee on Electricity Tariff agreed to freeze further increases in electricity tariff until the committee concludes its work and its report adopted by all the principals in the committee.

READ: NLC insists on electricity tariff reduction by December, serves notice to FG

“It is in light of this that we dismiss the ongoing speculation on increase in electricity tariff as mere speculations.

We, however, find it prudent to put you on notice that should government make true the swirling speculation by approving an increase in electricity tariff, Organised Labour would be left with no option than to deploy the industrial mechanisms granted in our laws for the defence of workers’ rights.”

In case you missed it

The Eko Electricity Distribution Company had allegedly sent a notice to its consumers titled ‘Re: Tariff increase notification’, purportedly signed by the General Manager, Loss Reduction, Olumide Anthony-Jerome.

The notice claimed that the approval was from the Nigerian Electricity Regulatory Commission.

It read, “This is to officially notify you that there will be an increase in electricity tariff with effect from September 1, 2021.

This increase is as a result of the nationwide mandate to implement the Service Based Tariff approved by our regulators.”

According to the newly approved plan, customers with lower power consumption capacity have their rates increased by N2 per kilowatts hour from N54.08/kwh to N56.08/kwh and are promised at least 20 hours of supply daily.

MD1 customers on Band A will pay N58.94/kwh from N56.94/kwh.

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