The Nigeria Labour Congress (NLC), the umbrella organization for Nigerian workers, has vehemently opposed a proposed electricity tariff hike by the Federal Government, labeling it “economic violence” against the working class and the general populace. This proposed increase follows a previous tariff hike in 2024, ostensibly affecting only a small percentage of high-consumption users. The NLC argues that the government’s reasoning for the new hike—reclassifying consumers to force them into higher tariff bands under the guise of service improvement—is a deceptive tactic to further burden Nigerians already grappling with economic hardship. This stance reflects a broader concern about increasing costs of living, including a recent telecommunications tariff hike, which the NLC negotiated down from 50% to 35% but remains wary of its implementation. The NLC has threatened mass protests and nationwide mobilization if the government proceeds with the electricity tariff increase, demonstrating its resolve to resist policies perceived as detrimental to the welfare of Nigerian workers.
The NLC’s opposition is rooted in the belief that the government’s current approach prioritizes the interests of “global monopoly capital” over the well-being of its citizens. The recurring theme of increased tariffs and taxes, coupled with what the NLC perceives as “relentless economic strangulation,” has fueled the organization’s determination to challenge policies it deems exploitative. The NLC insists that Nigerian workers should not bear the consequences of government and corporate inefficiencies, and views the proposed tariff hike as a blatant disregard for the economic struggles faced by ordinary Nigerians. The NLC’s strong stance reflects a growing distrust in the government’s commitment to alleviating economic hardship, particularly in essential services like electricity and telecommunications.
The National Union of Electricity Employees (NUEE), echoing the NLC’s concerns, has also rejected the proposed tariff hike and the reclassification of electricity consumers. The NUEE argues that this move is an exploitative agenda aimed at increasing revenue without a corresponding improvement in service delivery. The union’s scepticism stems from the Minister of Power, Adebayo Adelabu’s, justification for the hike, which centers on boosting liquidity in the power sector. The NUEE questions the minister’s prioritization of tariff increases over addressing fundamental issues plaguing the sector, such as inefficiency and unreliable service. They argue that focusing on improving service delivery and efficiency would be a more effective approach to addressing the sector’s financial woes than burdening consumers with higher tariffs.
The NUEE highlights the previous tariff hike in 2024, which was purportedly targeted at a small segment of high-consumption users (Band A). However, they argue that the impact of this increase trickled down to the general public, who ultimately bear the brunt of increased costs passed on by businesses and service providers. This experience fuels their apprehension regarding the proposed hike, which they fear will further exacerbate the economic hardship faced by ordinary Nigerians. The union emphasizes that the minister’s focus should be on improving the overall efficiency and reliability of the power sector, rather than implementing tariff increases that further impoverish the population. The NUEE’s position reinforces the NLC’s stance and underscores the widespread concern within the power sector regarding the government’s approach to addressing the sector’s financial challenges.
The proposed tariff hike, as reported by The PUNCH, seeks to align tariffs for customers in Bands B and C with the higher rate paid by Band A customers. This move has been met with strong opposition not only from labor unions but also from power consumers and members of the Organised Private Sector (OPS). These stakeholders question the government’s persistent focus on increasing the cost of essential services, particularly at a time of widespread economic hardship. This broader opposition underscores the widespread dissatisfaction with the government’s economic policies and the perceived insensitivity towards the struggles of ordinary Nigerians. The convergence of opposition from labor unions, consumer groups, and the OPS presents a significant challenge to the government’s plans and highlights the potential for widespread resistance.
The confluence of these factors – the NLC’s threat of nationwide protests, the NUEE’s strong opposition within the power sector, the concerns of consumers and the OPS, and the backdrop of previous tariff hikes and rising living costs – paints a picture of mounting tension between the government and its citizens. The government’s proposed tariff increase is not merely seen as an economic policy but as a symptom of a deeper disconnect with the realities faced by the Nigerian people. The government’s justification for the hike, focused on attracting investments and improving sector liquidity, has failed to resonate with those who argue that such measures should be preceded by tangible improvements in service delivery and a demonstrated commitment to addressing the root causes of the power sector’s challenges. The situation underscores the urgent need for a more comprehensive and inclusive approach to addressing the complex issues facing the Nigerian power sector, one that prioritizes the well-being of its citizens while also striving for long-term sustainability and economic growth.
