The Coalition of Northern Groups (CNG) rejects the recent decision by the Federal Government through the Nigerian Electricity Regulatory Commission (NERC) to increase electricity tariffs by about 300% in Nigeria amidst the current challenging economic realities caused by fuel subsidy removal and floating of the naira.

The CNG further says it was shocked by the upward review of the electricity tariffs because Nigerians are yet to recover and adapt to the earlier Bretton Woods inspired policies on fuel subsidy and the national currency which it describes as comprehensively unacceptable. 

The CNG is concerned that the increase would further burden and pauperize Nigerians who are already grappling with economic hardships including rising food prices and inflation which currently stands at the 31.7%, the highest in 28 years.

According to the CNG, the electricity tariffs instant hike is not only ill-timed but also insensitive given the current economic situation as the increment would only suffocate the downtrodden and strangulate the barely surviving remnants of Small and Medium Enterprises (SMEs) that are providing means of livelihood to millions of households across the country.

Nigerians are already getting excited that naira is regaining its value against the US dollar which would hopefully stabilize the economy and strengthen their purchasing power but this hike would squash any glimmer of hope for a respite.

It is important to remind authorities that Nigeria’s minimum wage remains a mere N30,000 which has already lost its potency with a substantial number of subnational and private entities paying far less than that to their workers. The apex Bank of the country has since raised the interest rate for commercial banks and VAT has been upped that individuals and businesses are trying to cope; thus, raising electricity tariff would not augur well for the country and the administration.

Stretching people’s credulity would most likely create an atmosphere of hopelessness, destitution and restiveness which can expand frontiers of hostility, pauperization and criminality in the country. 

The CNG therefore calls on the Government as a matter of national importance to rescind its decision and reconsider its position as well as devise alternative measures to address the challenges in the power sector that have held the country and citizenry ransom for decades.

The CNG further cautions the government against bowing to external pressures from international financial institutions like the World Bank and the International Monetary Fund (IMF) who are desperate to turn Nigeria into a pawn in their hands for their manipulations and exploitations at the expense of citizens' welfare and the country’s development trajectory.

The CNG calls upon President Bola Tinubu to put the interests of his people and prioritize needs of Nigerians above any external influence or conditionality imposed by the international organization to promote sustainable development for all Nigerians.

It is a stark reality that the World Bank and IMF poisonous, anti-masses and neoliberal economic policies have not successfully developed anywhere in the world, as such, Nigeria must be wary of their counsel not to consume their venomous recommendations hook, line and sinker.

The CNG maintains that the hike will undoubtedly exacerbate vulnerability of millions of Nigerians who can barely afford basic necessities such as food, healthcare, and education; emphasizing that the government should prioritize policies and programmes that can bring about succor to impoverished compatriots above any external pressure from Bretton Wood Institutions. 

Therefore, the CNG stresses the significance of engaging in a meaningful dialogue with relevant stakeholders to find viable alternatives and careful execution of any policy than to adopt this unsustainable increase in electricity tariffs that adds to the pangs of difficulties to Nigerians.

The CNG will continue to engage with stakeholders and work towards finding solutions that address the needs of the people while ensuring the long-term viability of the power sector without further subjecting Nigerians into the abyss.

Comrade Jamilu Aliyu Charanchi

National Coordinator, CNG.