OPC to Tinubu: stop electricity tariff hike plan by DisCos

Electricity Tariff increase
  • •’It’s anti-people’

The Oodua People’s Congress (OPC) has raised the alarm over a plan to further increase electricity tariff by the Distribution Companies (DisCos).

It described the move as anti-people, oppressive, unjustified and aimed at discrediting the President Bola Ahmed Tinubu administration.

Urging President Tinubu to stop the DisCos’ electricity rate increase, OPC President, Otunba Wasiu Afolabi, in a statement signed by its General-Secretary, Comrade Bunmi Fasehun, noted that the move had similarly been rejected by workers under the umbrella of the Nigeria Labour Congress (NLC) and industrialists under the Manufacturers Association of Nigeria (MAN).

Afolabi said Nigerians were still grappling with the scrapping of fuel subsidy, and that increasing the cost of electricity would be adding to the citizens’ burden and painting the Tinubu administration as uncaring.

DISCOs had served notice to consumers to expect to pay higher electricity tariffs from July 1, which was deferred, following the failure to secure the required permission of the government.

OPC said the power distributors would increase their earnings if they stopped incessant power outage and changed their poor attitude by rendering quality services.

“Today, citizens are the ones buying their own poles, transformers, cables and prepaid meters. DisCos have turned themselves into rent-takers and blackout distributors,” Afolabi said, adding: “We cannot continue this way.

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“DisCos should be told to supply prepaid meters free-of-charge, something they have refused to do so far because they enjoy sending crazy bills to customers, who suffer darkness and power failure all the time,” he said.

OPC advised the DisCos to emulate telecommunications companies (TESCOS) that had reduced the cost consumers paid for calls and data.

Reminding the companies that they had inherited the backbone and infrastructure of the old NEPA and PHCN for a small amount, Afolabi said in comparison, TESCOS independently made colossal investments in laying underground, underwater and fibre-optic cables, antenna and electricity generators, “and they are reaping the profits today.”

OPC asked DisCos to justify the hundreds of billions in public funds that past administrations had pumped into the sector, even when the distribution segment of the electricity value chain had been privatised.

According to the organisation, it had become clear that the DisCos wanted to reap where they did not sow, because the generation and transmission companies were largely discharging their responsibilities while distribution remained problematic.

Afolabi said: “President Tinubu should tell distribution companies that if they cannot deliver with the current tariff, they should submit their licences and close shop.

“The government should scrap this territorial monopoly, where only one DisCo has commandeered a service area and allowed no competition. Consumers in any area should be able to choose and transfer to other DisCos as currently obtains in telecommunications and in other countries. This will create competition and push DisCos to render quality service, in order not to lose customers to competing suppliers.”

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