metro
Federal Govt secretly raises electricity tariff – Investigation
Unknown to most Nigerians, they are now paying higher for electricity after the authorities quietly raised the tariff without notifying consumers of the product.
LEADERSHIP Friday reports that the slight electricity tariff adjustment in September points to the confirmation of plans by the federal government to withdraw its subsidy payment in the sector.
A discreet investigation by LEADERSHIP uncovered a clandestine tariff adjustment which key industry sources say was effected to gauge reactions from the public.
Though inquiry sent to Usman Arabi, spokesman of the Nigerian Electricity Regulatory Commission (NERC) to confirm the development was not responded to, LEADERSHIP Friday’s findings show that a 2 per cent hike was effected in September.
Our source said the adjustment became inevitable as government can no longer sustain the subsidy payment.
“The hike is infinitesimal because it was not intended to draw any attention, and it is deliberate and would continue at that level so as not to choke consumers, but it will certainly be a periodic review,” our source said.
Government has claimed that its subsidy payments in the electricity sector is well over N30 billion monthly.
Vice President Yemi Osinbajo had, at the opening of the 14th Nigerian Association for Energy Economics (IAEE) Conference in Abuja, recently, said the government expected the electricity sector to generate its revenue from the power sector market.
Speaking through the special adviser to the president on infrastructure, Ahmed Zakari, he said, “The Federal Government intends to reduce its interventions in the power sector and thus allow the electricity market to run on its own, thereby allowing the market participants to determine the course of action.”
Going by what Osinbajo said, with such consideration to scrap electricity subsidy from next year, Nigerians would have to pay more for the commodity under a new tariff arrangement to be unveiled by the federal government.
Osinbajo noted that government would be investing over $3 billion in the coming years to improve transmission and distribution infrastructure across the country.
He explained that the effort of President Muhammadu Buhari’s administration to reform the energy sector would ensure that it continues to play critical roles in the growth of the country’s social and economic wellbeing.
He said: “Electricity tariff reforms with service-based tariff has led to collections from the electricity sector by 63 per cent, increasing revenue assurance for gas producers and stabilising the value chain.
“It is anticipated that all electricity market revenues will be obtained from the market, with limited subsidy from next year as reforms in metering and efficiency with the DisCos (distribution companies) to improve.
“To accelerated investment in transmission and distribution, over $3 billion will be put into this sub-segment of the electricity value chain that will put us on the path to delivering 10 gigawatts through the interventions of the Central Bank of Nigeria/Siemens partnership, World Bank and Africa Development Bank, and others.”
The federal government and Labour had gone into extensive discussions prior to the implementation of the Service-based Tariff in November 2020, where the electricity regulator (NERC) had promised improvement in service delivery to Nigerians.
The highest peak generation of electricity for the month of September was 4,694 Megawatts (MW), including electricity exports, and what was available for Nigerians in-country came down to 3,863MW, a far cry from the 30,000MW demand for electricity in the country
Essentially the country is providing roughly 11 per cent of the citizens’ demand for electricity despite huge government interventions in the power sector.
At the recent NERC-stakeholders’ forum, concerns were raised about the power sector moving backwards rather than forging ahead going by the too many policy inconsistencies.
Nigeria has one of the poorest supplies of electricity despite the power sector contributing 78 per cent to GDP growth for Q2 2021.
Chairman of the Nigeria Electricity Consumers Advocacy Network (NECAN),Tomi Akingbogun, deplored the nature of the hike, describing it as fraudulent.
He said, “This is unfortunate and deceitful. No nation can develop based on deceit. Manufacturers need to capture their costs well to make profit so as to continue to produce.
“If costs are increased and hidden, the company will lose and close down, thereby increasing unemployment and reducing gross domestic product (GDP), etc.
“NERC needs to be run by people who understand the dynamics of the economy. NERC, at present, are not fair judges.”
Akingbogun, further said, “We all noticed this some months ago, the whole country cannot be deceived.”
Also, a vendor with one of the DisCos confirmed to our correspondent that an increase was actually made last month and that customers who patronise her observed the slight adjustment.
“I am aware and customers have been confronting me, but I have to let them know that there is a little adjustment following improvements in supply. That’s what I can tell you for now,” she said.
The Nigeria Labour Congress (NLC) has vowed to deploy the industrial mechanisms granted in labour laws for the defence of workers’ rights to resist increase in electricity tariff.
Equally, NLC President Ayuba Wabba had in July warned against a speculated plan to grant approval to DisCos to hike electricity tariff.
While the speculation was rife, Wabba said, “It is in the light of this that we dismiss the ongoing speculation on increase in electricity tariff as mere speculation.
“We, however, find it prudent to put you on notice should government make true the swirling speculation by approving an increase in electricity tariff, Organised Labour will be left with no option than to deploy the industrial mechanisms granted in our laws for the defence of workers’ rights.”
Wabba said that NLC had written to remind the minister that Organised Labour on September 28, 2020, through the Federal Government/Organised Labour Committee on electricity tariff, agreed to freeze further increases in tariff until it concludes its work and its report adopted by all the principals in the committee.
In his own reaction, convener of PowerUp Nigeria, Adetayo Adegbemle, said since privatisation, Nigeria has continuously bent over to the demands of the private operators without experiencing any notable improvement in the fortunes of Nigeria’s power sector, except the demands for tariff increase.
He lamented that despite all the several tariff increments, there has not been improvement in service delivery.
“The investors have not done well to keep to their end of the bargain, and the truth is that nobody trusts them enough to want to gamble on more time.
“There is no amount of money thrown at the power sector that will resolve the problems, as the power sector challenge is not a money problem,” he said.
Leadership
metro
Court adjourns Yahaya Bello’s trial till Nov 27
Court adjourns Yahaya Bello’s trial till Nov 27
The Economic and Financial Crimes Commission (EFCC) has requested an adjournment in the new case against the immediate past Governor of Kogi State, Yahaya Bello, stating that the 30-day window for the previously issued summons is still active.
The commission has granted administrative bail to his co-defendants, Umar Oricha and Abdulsalami Hudu, and asked the court for an extension of time for Bello to appear.
At the resumed hearing before Justice Maryann Anenih of the Federal Capital Territory High Court, Abuja, EFCC Counsel Jamiu Agoro noted that the court’s order from October 3rd had not yet expired.
“In that wise, we feel it will not be appropriate for us to take proceedings while that 30 days is still running. So we have discussed and agreed to come back on the 27th day of November, 2024, my lord,” he told the court.
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He also mentioned that the previously set date of November 20th was not convenient for the prosecution counsels.
Counsel to the second defendant, Aliyu Saiki, SAN, confirmed that his client had been granted administrative bail by the prosecution and had no objection to the adjournment request. The third defendant’s counsel, ZE Abass, concurred.
The prosecution counsel also requested the court to allow the notice of hearing to be pasted on the last known address of the first defendant.
After hearing from all counsels, the judge granted the EFCC’s application for adjournment and the issuance of the hearing notice.
“I have considered the application for adjournment by the complainant and issuance of hearing notice and the submission by the second and third defendants. The application is granted,” she said.
Justice Anenih then adjourned the case to November 27th for arraignment.
The former governor, alongside Umar Oricha and Abdulsalami Hudu, are being prosecuted as 1st to 3rd defendants, respectively, in a fresh 16-count charge instituted against them by the EFCC.
Court adjourns Yahaya Bello’s trial till Nov 27
metro
We are understaffed, ICPC boss laments
We are understaffed, ICPC boss laments
Musa Adamu Aliyu, the Chairman of the Independent Corrupt Practices and Other Related Offences Commission (ICPC), has stated that the Commission is understaffed and under-resourced. Aliyu says this is limiting the commission’s efficiency.
According to a statement on the ICPC website published on Wednesday, Aliyu made this known on Monday while presenting the Commission’s performance scorecard to the Senate Committee on Anti-Corruption and Financial Crimes.
“Currently, we have 21 state offices, but they are severely understaffed and under-resourced, which affects our efficiency nationwide,” he said.
Aliyu mentioned that the ICPC suffered from inadequate funding, which hampers the pursuit of investigations, legal proceedings and public education efforts.
Cases involving politicians, where external influences can challenge the impartiality and integrity of investigations, are also some of the challenges bedevilling the ICPC.
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- Edo Gov Okpebholo freezes govt accounts, reverses ministry’s name
- Wike claims Adeyanju became activist after he rejected request to be PDP Publicity Secretary
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Aliyu cited slow court processes as one of the factors preventing the swift resolution of corruption cases and undermining public trust in anti-corruption efforts.
“Our work requires diverse expertise, from forensic analysis to psychology, yet rising living costs make it increasingly difficult to maintain high morale among staff. Reviewing salaries and welfare benefits is essential for sustainable productivity,” Aliyu said.
“Additionally, ICPC personnel face security risks, especially during high-stakes investigations, making it critical to provide them with adequate security measures similar to those granted to other agencies.
“We urge you to consider the Commission’s requests for adequate funding to strengthen operational resources. Such support will enable us to pursue a more effective, inclusive, and resilient fight against corruption in Nigeria.”
We are understaffed, ICPC boss laments
metro
Wike claims Adeyanju became activist after he rejected request to be PDP Publicity Secretary
Wike claims Adeyanju became activist after he rejected request to be PDP Publicity Secretary
Minister of the Federal Capital Territory FCT, has disclosed how rights activist, Deji Adeyanju, had approached him, seeking his blessings to become the National Publicity Secretary of the Peoples Democratic Party PDP, a plea he turned down.
Wike said Adeyanju who became jobless on account of the rejection has now become an emergency activist, using every opportunity to attack the FCT Administration under him.
The minister spoke on Wednesday evening during a live media chat in Abuja.
Adeyanju who had recently attacked Wike for allegedly concentrating development on the city centre, an allegation that has been severally denied by the Administration, with video and pictorial proofs.
Adeyanju also last week led a protest against Wike over the demolition of Ruga, a settlement along Metro line corridor in Wuye District.
Reacting, Wike said; “I saw one young man, they call him Adeyanju. He is from Kogi State. This young boy came to me that he wants to be the National Publicity Secretary of the PDP and I said ‘No’..
“I said he won’t be, and he was not. I have no regrets about it. He has suddenly become a civil society activist. He has no job and that is why he decided to turn to a civil society activist”.
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Shortly after the live media chat, Adeyanju had posted on his Facebook page that he was too busy with clients that he would not be making any response until Friday. He however did not explicitly mention the Minister’s name but rather used expletives.
Wike had on Sunday vowed to go ahead with demolitions of shanties and illegal structures in the territory, saying government will not succumb to blackmail by few individuals who would rather that the status quo be maintained.
Wike who had held an emergency security council meeting on Sunday evening had in company of the security chiefs and journalists visited the Ruga community in Wuye District where town planning officials and security personnel had earlier gone on clearance operations.
There were reports that a handful of the squatters had protested alongside a lawyer, but spokesman of the community, Abba Garu conceded that they were illegal squatters and that previous administrations had carried out at least 22 demolitions of the area but the people always returned.
While he noted that the community was a mini-Nigeria as it had people from different tribes, Garu begged the administration for compassion.
In response, Wike asked him to nominate four other members of the community to meet with officials of the administration in order to come up with a humane solution.
Wike claims Adeyanju became activist after he rejected request to be PDP Publicity Secretary
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