The Nigerian Network for Electricity Consumers Advocacy, has said that the main reason behind the most recent increase in electricity tariff prices is corruption in the electrical sector.
Amidst tariff hike, there has been controversy over the increase of electricity tariff by the Federal Government.
The Federal Government, through the Nigerian Electricity Regulatory Commission, approved an increase to N225 ($0.15) per kilowatt-hour from N68; a 300 per cent hike to take effect from April 1, 2024.
Speaking on Saturday, Funmilola Akinbogun, the National Chairman of NECAN, stressed the detrimental impact of corruption on the cost of electricity, attributing the high tariff to various forms of malpractices within the sector.
Akinbogun stated that the deliberate failure of distribution companies (Discos) to provide meters for all consumers led to a lack of accountability and transparency in billing.
According to him, Discos exploit this loophole to inflate costs, without investing in necessary infrastructure development.
He added that the lack of investment coupled with corrupt practices resulted in exorbitant electricity tariffs.
“There are so many lines of corruption. The discos don’t want to meter everybody deliberately so that they will keep telling the government they are not making enough money and the government will not have to prove it because there is no meter.
“They (Discos) fail to invest in the electricity infrastructure that they are supposed to be developing. The corruptions that are going on within the sector are the things that are making the cost extremely high.”
Akinbogun also criticised the Federal Government for allegedly siding with electricity companies at the expense of consumers.
He called on the Minister for Power to prioritise public interests over corporate interests and address the prevalent corruption within the sector.
He added, “The Federal Government has been unfair to electricity consumers by taking sides with the electricity company. This is why we are at this level. You cannot continue to protect one sector to the detriment of others.
“The Minister for Power must listen to the public first before listening to those who are fed fat because of the corruption in the electricity sectors. We are not saying they shouldn’t make profits but they should meter everybody so that there will be clear records of how much you are generating.”
A lawyer, on his part, Dr Ayodele Oni, who specialises in energy matters, stated that while accomplished reversal of the tariff hike might not be feasible, efforts should be made to reduce the impact on consumers.
According to him, increase energy effectiveness and availability across the country is very significant, regardless of the tariff adjustments.