Xinhua
15 Mar 2025, 16:16 GMT+10
Amid an erratic power supply, electricity consumers across Nigeria have continued to lament the tariff hike, describing it as both "exploitative and a threat to the growth of local businesses."
ABUJA, March 15 (Xinhua) -- Amid an erratic power supply, electricity consumers across Nigeria have continued to lament the tariff hike, describing it as both "exploitative and a threat to the growth of local businesses."
Last month, the Nigerian government said some citizens might need to pay more than 65 percent of what they are currently paying for a kilowatt or per hour of electricity to reflect the actual cost of production.
Nigerians are protesting the electricity tariff hike amid persistent power shortages, arguing that "the government should prioritize improving power generation and distribution rather than imposing higher charges."
The electricity crisis in Nigeria has worsened over the years due to a combination of factors.
With the hope of attracting private investment and improving efficiency, the government privatized the power sector in 2013. However, the unbundling of the former state-owned Power Holding Company of Nigeria into generation, transmission, and distribution companies has not yielded the desired results.
Many generation and distribution companies inherited obsolete infrastructure, lacking the financial capacity for upgrades. Inadequate gas supply to power plants, vandalism of transmission lines, and weak regulatory enforcement have further compounded the situation.
As a result, the national grid continues to suffer frequent collapses, and the available power is grossly insufficient to meet the demands of Nigeria's growing population and economy.
Speaking to reporters in Osun State on Friday, Sadiq Adewale, former vice president of the National Union of Electricity Employees in the country's South West Region, attributed the epileptic power situation to obsolete power generation and distribution equipment.
Adewale said most of the equipment used by distribution companies needed to be replaced with modern ones to meet the increasing electricity demands of consumers, adding that the electricity generation capacity was far below what is required. "Except that these obsolete equipment are replaced with modern ones, it will be difficult to guarantee regular power supply across the country."
In the Nigerian capital of Abuja, Femi Ogunlade, an entrepreneur, told Xinhua that the poor electricity supply has begun to cripple many businesses, with many local business owners getting frustrated by the hike in tariff amid poor power supply.
Ogunlade described the situation as "proof of insensitivity to the plight of the masses," saying the power situation had reached a frustrating level. "There isn't a regular electricity supply, yet you increased the tariff. Apart from being utterly unacceptable, how are small and medium businesses expected to cope or survive this situation?" he asked.
Joel Ilesanmi, a beauty salon operator in Lugbe, a low-income suburb in Abuja, lamented that an increasing percentage of his daily earnings went into purchasing gasoline for his power generator due to unreliable electricity.
Likewise, John Attah, a drinking bar operator, emphasized the need for investment in renewable energy sources such as solar and wind power as alternative sources. Due to the exorbitant bills, Attah is forced to switch to solar power for his drink-selling business.
Many consumers, like Attah, have claimed that 220 kilowatts of power, which used to last for a month, now costs 50,000 nairas (about 32 U.S. dollars) and could only last three to five days.
"If the government can invest in these sources, it will help reduce reliance on fossil fuels and improve energy security," he said, calling for a favorable regulatory environment to attract private investments. "The government needs to implement a long-term solution that addresses the root causes of affordability and reliable energy access."
Kikelomo Owoeye, spokesperson for the Ibadan Electricity Distribution Company, attributed it to the low energy allocation from the generation companies.
"We cannot distribute what we do not generate. If there is insufficient power generation, supply to customers will also be limited," Owoeye said, highlighting other challenges such as grid disturbances, energy theft, illegal connections, meter tampering, vandalism, and non-payment of bills.
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