Reps Committee Demands Fairness in Electricity Tariff Increase

Reps Committee Demands Fairness in Electricity Tariff Increase
Reps Committee Demands Fairness in Electricity Tariff Increase

Hon. Victor Nwokolo, Chairman of the House of Representatives Committee on Power, emphasized the necessity for fairness and justice in any electricity tariff increase during a public hearing on Tuesday. The hearing was conducted by the Joint Committees on Power, Commerce, National Planning and Economic Development, and Delegated Legislation.

The hearing focused on the recent tariff increase approved by the Nigerian Electricity Regulatory Commission (NERC). The Minister of Power, Adebayo Adelabu, stated that the introduction of Band A with higher tariffs reduced the electricity subsidy from N3 trillion to N1 trillion, a necessary move given the Federal Government's financial constraints.

Hon. Nwokolo stressed the importance of due process in tariff approvals. "The power of a regulator to approve tariff increase must be justified by evidence and logic, ensuring that the reviewed tariff is fair and just and apportioned to different customer classes according to the real costs of serving them," he said.

Deputy Speaker Benjamin Kalu voiced the widespread discontent among citizens regarding the tariff hike, stating that the decision by NERC to increase electricity tariffs has not been well-received, and the concerns about higher utility bills and their potential ripple effect on business costs are valid.

Hon. Nwokolo called for transparency and accountability from all stakeholders. "We want to know the challenges the sector is facing and how we can support. We aim to ensure that customers are served and protected, and that the recent tariff review complies with legal and regulatory standards," he added.

The House Committee's investigation aims to ensure that the recent tariff increase by NERC is both legal and reasonable. Lawmakers are committed to collaborating with the executive branch to transform the Nigerian power sector into a model of efficiency and sustainability, addressing any legal and legislative barriers in the process.

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