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‘Reversing Tariff Hike Will Derail FG’s Reforms’: Power Minister Warns Labour

The Minister of Power, Adebayo Adelabu, has appealed to the Organised Labour to support the Federal Government’s reform plan for the power sector, warning that any reversal in the recent electricity tariff hike for Band A customers will derail the progress made so far. Adelabu made this statement on Tuesday after the Federal Executive Council (FEC) meeting at the Aso Villa in Abuja.

The minister’s comments follow the nationwide picketing of the offices of the Nigerian Electricity Regulatory Commission (NERC) and distribution companies by the Organised Labour on Monday. The protest was in response to the recent electricity tariff hike, which saw customers in the Band A category paying N225 kilowatt per hour, up from the current N66.

Adelabu explained that the majority of those who protested on Monday are not affected by the tariff hike, as they still enjoy government subsidies. “A lot of them are paying below N60, so they still enjoy government’s subsidy. So when they say we should reverse the recently increased tariff, sincerely it’s not affecting them,” he said.

The minister emphasized that the reform plan is aimed at achieving reliable, functional, cost-effective, and affordable electricity in Nigeria. He acknowledged that the road to achieving this goal will be rough, but urged everyone to bear the temporary sacrifices for the sake of permanent gains.

Adelabu also responded to the position of the Organised Labour, saying that the government welcomes peaceful protests and is willing to engage with the Labour unions to reach a peaceful resolution. However, he reiterated that reversing the tariff hike will not be in the best interest of the power sector’s reform plan.

“We have heard the demands, we’re going to look at it, we’ll make further engagements, and I believe we’re going to reach a peaceful resolution with the Labour because no government can succeed without the cooperation, collaboration, and partnership with the Labour unions,” he said.

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