According to a report by Punch News on May 13, 2024, there have been nationwide protests organized by labor unions in Nigeria. The protests are in response to the recent increase in electricity tariffs and the removal of subsidies by the Federal Government in the power sector. The protests aim to compel the government to reverse the tariff hike and reinstate the subsidy system. The Nigeria Electricity Regulatory Commission (NERC), the Ministry of Power, and state offices of power distribution companies will be impacted by the protests.
On April 3, 2024, the NERC announced a tariff increase of 240% for Band A customers, which constitutes approximately 15% of total power consumers in the country. The government claimed that the tariff hike would save N1.5 trillion and result in up to 20 hours of daily power supply for Band A customers.
However, various groups, including the House of Representatives, labor unions, consumer groups, and civil society organizations, demanded a reversal of the tariff increase. They argued that it was unjust to impose higher tariffs on Nigerians for unreliable electricity services. The Nigeria Labour Congress (NLC) and Trade Union Congress (TUC) issued a one-week ultimatum, threatening to picket NERC offices if the tariff increase was not reversed.
In response, the NERC revised the tariff, reducing it from N225/kWh to N206.8/kWh, representing an approximate 8.1% reduction. This adjustment was attributed to the appreciation of the naira in the official foreign exchange window. However, organized labor continued to insist on a complete reversal of the tariff increase.
Labor unions, civil society organizations, and human rights groups have expressed their support for the protests, emphasizing the need to address the negative impacts of government policies on the Nigerian population. Their objective is to exert pressure on the government to take action to alleviate hardships, implement policies promoting social justice, reduce inequality, and combat poverty and corruption.
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