Labour threatens showdown with FG over planned electricity tariff hike

A new battle is brewing between the Nigeria Labour Congress (NLC) and the federal government (FG) over proposed electricity tariff hikes and consumer reclassification.

This is as the NLC has strongly opposed the Nigerian Electricity Regulatory Commission’s (NERC) plan to increase tariffs or move consumers from lower bands to Band A.

The controversy follows the FG’s approval on April 3, 2024, of a tariff increase for Band A consumers, while rates for other categories remained unchanged. However, fresh concerns arose after Minister of Power, Adebayo Adelabu, hinted on Thursday that Band B consumers might soon face a similar hike, arguing they were not paying enough.

Reacting to the development, NLC President Joe Ajaero, in a communique issued on Sunday, reaffirmed the union’s opposition to any attempt to burden consumers further. He stated that during its February 28 meeting in Yola, Adamawa State, the NLC’s national executive council (NEC) firmly rejected both the tariff increase and the migration of consumers to Band A.

Ajaero described the proposed adjustments as exploitative, warning they would exacerbate the financial struggles of Nigerian workers and citizens.

“At a time when inflation is skyrocketing, wages remain stagnant, and the cost of living has become unbearable, the government is once again shifting its financial mismanagement onto the shoulders of already struggling Nigerians,” he declared.

The NLC has vowed to resist any further electricity price hikes, warning that failure to heed its concerns could lead to mass protests.

“The NEC-in-session has made it clear—any additional electricity tariff increases will be met with nationwide resistance,” Ajaero warned.

The ongoing clash over electricity tariffs is just one front in the NLC’s broader struggle against rising costs across various sectors. Labour has also been in talks with the FG regarding proposed hikes in telecommunications tariffs. Ajaero noted that the NLC successfully negotiated a reduction in the initial telecom tariff hike from 50% to 35% in a February 25 agreement with the government.

However, despite this temporary relief, Ajaero stressed that if the agreed March 1, 2025, implementation deadline is not met, the union’s National Administrative Council (NAC) will take immediate steps to enforce compliance.