Senate Commence Investigation on Increase in Electricity Tariff

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Electricity

Ministers of Power, Adebayo Adelabu, and representatives from the Nigerian Electricity Regulatory Commission (NERC) found themselves in the hot seat on Monday as they appeared before the Senate Committee on Power. The one-day investigative hearing centered on the controversial proposed increase in electricity tariff by eleven successor electricity distribution companies, a move stirring concern amidst Nigeria’s challenging economic climate.

Chairman of the committee, Senator Eyinnnaya Abaribe, wasted no time delving into the heart of the matter. He questioned the methodology behind the migration of customers from previous classifications to the current band system. Specifically, he probed whether these classifications adhered to legal provisions, raising concerns about potential discriminatory practices and regional differentiations as outlined in relevant legislation.

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The timing of this inquiry is significant, following closely on the heels of NERC’s recent tariff adjustments affecting consumers in the Band A category. The substantial increase from N68/kWh to N225/kWh for Band A customers, who enjoy 20-24 hours of daily electricity supply, has sparked public outcry and prompted legislative scrutiny.

The Senate’s involvement underscores its commitment to safeguarding the interests of Nigerian citizens, particularly in matters impacting their economic well-being. Through its Committee on Power, the Senate has initiated a thorough investigation into the tariff hikes, signaling a proactive stance in addressing pressing issues affecting the populace.

Last week’s summons of Minister Adebayo Adelabu and agency heads set the stage for Monday’s proceedings, affirming the legislature’s intent to hold accountable those responsible for policies impacting electricity consumers. Senator Ababribe’s assertion of the Senate’s authority to conduct this investigation reflects a concerted effort to exercise oversight and ensure transparency within the power sector.

At the heart of the Senate’s inquiry lies a dual mandate: to address immediate concerns regarding tariff hikes and to pursue broader reforms aimed at enhancing the efficiency and accessibility of Nigeria’s electricity sector. The Committee on Power is tasked with exploring comprehensive solutions to longstanding challenges, including the issue of subsidy requirements and outstanding debts owed to industry stakeholders.

Central to Monday’s discussions was the transition from previous customer classifications to the current band system. The committee sought clarity on the timeline and rationale behind this transition, emphasizing the need for accountability and fairness in serving electricity consumers across the country.

Senator Abaribe’s closing remarks reaffirmed the committee’s unwavering commitment to its mandate and the welfare of Nigerian citizens. With a pledge to diligently pursue the truth and hold accountable any parties found culpable, the Senate remains resolute in its pursuit of justice and reform within the electricity sector.

As the investigative hearing continues, all eyes are on the deliberations unfolding within the hallowed halls of the National Assembly. The outcome of these proceedings will not only shape the trajectory of Nigeria’s electricity policies but also underscore the legislature’s role as a vigilant guardian of the public interest.

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