Connect with us

News

Senate asks FG to stop hike in electricity tariff

Published

on

The Nigerian Senate has urged the Federal Government to halt the proposed hike in electricity tariff by Distribution Companies (Discos) in the country.

While stressing the need to allow ordinary Nigerians to breathe, the lawmakers directed Discos to discontinue estimated billing henceforth and make prepaid meters available to all electricity consumers at affordable prices.

The resolutions followed a motion sponsored by Senator Yunus Abiodun Akintunde (APC, Oyo Central) and co-sponsored by Senators Ekpenyong Asuquo (APC, Cross River South) and Aminu Iya Abbas (PDP, Adamawa Central).

Presenting the motion, Titled, “Need to Halt the Proposed Increase in Electricity Tariff by Eleven Successor Electricity Distribution Companies (Discos)”, Senator Akintunde maintained that the Discos have no justification for the hike, especially as the price of natural gas has not been reviewed.

“The Senate: Observes that the eleven (11) successor electricity distribution companies (“Discos”) have filed an application for rate review with the Nigerian Electricity Regulatory Commission (NERC). The request for rate review is premised on the need to incorporate changes in macroeconomic parameters and other factors affecting the quality of service, operations and sustainability of the companies;

“Also observes that the Commission in line with its mandate has requested the general public for comments on the rate review applications by the distribution licensees; while advising interested stakeholders to review and take into consideration the excerpts of the Rate Review Applications filed with the Commission by the respective licensees;

READ ALSO:  Senate approves Tinubu’s $800m request for social safety net

“Aware that as part of the Nigerian Electricity Regulatory Commission (NERC) rule-making process and in the exercise of the powers conferred by the Electricity Act 2023, the Commission is empowered to conduct a Rate Case Hearing on the applications prior to making a ruling;

“Also aware that Nigerian Electricity Regulatory Commission (NERC) had through its official website published and set 20th July 2023, deadline for comment by stakeholders;

“Worried that within the last 10 years, billions of naira were spent by Senators across Nigeria in the procurement and installation of transformers through various Zonal Intervention Projects (ZLPs) as a result of the request in Senator’s various Constituencies.

“Also worried that when these transformers are supplied and installed becomes registered properties of the Discos (a privately owned enterprise); while sadly same Discos have consistently refused to energise such Transformers on the ground that affected communities have to pay millions of naira arrears of bills for electricity never consumed while keeping the affected consumer in perpetual darkness;

“Concerned that the services of the 11 discos are currently bedevilled with total failure, occasioned by prolonged blackout due to lack of provision of relevant infrastructure like transformers, electricity poles, poor distribution network compounded with unjustifiable estimated billings, lack of supply of prepaid meters, reap off etc; and

“Also concerned that despite repeated previous increases in the multiyear tariff with assurances of improved service delivery by the Discos no commensurate improvement has been made by any of 11 Discos in their respective service deliveries to justify the previous increment,

“Further concerned that the: proposed increase will significantly impact the affordability of electricity for the average Nigerian, further exacerbating the financial burdens faced by households and businesses;

“Less than one-week time frame window provided by Nigerian Electricity Regulatory Commission (NERC) for comments from all relevant stakeholders is too small for any meaningful engagement;

“High electricity tariffs will impede industrial growth, job creation, and economic development. This will have adverse effects on the nation’s drive towards sustainable development and poverty reduction;

“It is essential to address the issues of inadequate power supply, metering, and quality of service provided by the Discos. Customers should not bear the brunt of inefficiencies in the power sector”, he said.

Adopting the motion, the Senate urged the Nigerian Electricity Regulatory Commission (NERC) to thoroughly look into the rate review applications filed by the Discos, taking into consideration the interests of citizens, affordability, and the need for improved service delivery;

The Red Chamber also directed the NERC to explore alternative measures to address the financial challenges faced by the Discos, such as improving operational efficiency, reducing technical and commercial losses, and enhancing revenue collection mechanisms.

It mandated its Committee on Power (when constituted) to engage with the Federal Ministry of Power, NERC, and other stakeholders to find lasting solutions to the Nigerian electricity sector’s challenges, including the need for comprehensive sector reforms.

 

Continue Reading
Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

News

NCC commences pre-enforcement action on Starlink over price hike

Published

on

The Coalition on Transparency and Rule of Law (CTRL) has commended the Nigerian Communications Commission (NCC) for its commitmen

The Nigerian Communications Commission (NCC) says the decision by Starlink to unilaterally review its subscription packages upwards did not receive the approval of the commission.

In a statement signed by its Director, Public Affairs, Reuben Mouka said the action of the company is in contravention of Sections 108 and 111 of the Nigerian Communications Act (NCA), 2003, and Starlink’s Licence Conditions regarding tariffs.

The Commission commenced pre-enforcement action on the licensee on the 3rd of October, 2024.

 

 

Continue Reading

News

FG to begin $750m rural electrification project November

Published

on

FG to begin $750m rural electrification project November

The Federal Government has announced that it will commence implementation of the $750m World Bank-funded rural electricity project in November.

It said the project will provide over 17.5m Nigerians with new or improved access to electricity through distributed renewable energy solutions.

The Managing Director of the Rural Electrification Agency, Abba Aliyu, disclosed this when he appeared on Channels Television’s Sunrise daily programme on Thursday.

Recall that in December 2023, the World Bank announced the approval of Nigeria Distributed Access through Renewable Energy Scale-up project, being financed by $750m International Development Association credit and would leverage over $1bn of private capital and significant parallel financing from development partners.

The financing from development partners includes $100m from the Global Energy Alliance for People and Planet and $200m from the Japan International Cooperation Agency.

Other development partners collaborating on the programme include the United States Agency for International Development, the German Development Agency, SEforAll, and the African Development Bank.

But 10 months after its approval, the REA MD noted that the project would begin implementation next month without stating reasons for the delay.

He explained that three million anticipated beneficiaries would be connected through the isolated mini-grid, 1.5 million Nigerians through the inter-connected mini-grip, and 12 million would be electrified using a merged grid and solar stand-alone system.

Aliyu said, “There is a new project that we are starting next month called the Distributed Renewable Energy Scale-up project which is a $750 million financed by the World Bank.”

“The target of that project is to electrify 17.5 million Nigerians, and I must say that this is one of the most ambitious projects in the world based on my understanding from India that has moved many unelectrified people to have access to electricity.

“Three million of them through the isolated mini-grid, 1.5 million Nigerians through the interconnected mini grip, 12 million would be electrified using a merged grid and solar stand-alone system.”

Aliyu further said the project is estimated to last for five years and was built on successes recorded from similar projects in the past which cost $550 million and were funded by the World Bank and the African Development Bank.

Continue Reading

News

VIO does not have power to stop, impound, fine vehicles again – Court

Published

on

Court bars VIO from stopping, impounding, confiscating vehicles

A Federal High Court in Abuja has issued an order barring the Directorate of Road Traffic Services (otherwise known as VIO) from further stopping vehicles on the road, impounding or confiscating vehicles, and imposing fines on motorists.

Justice Evelyn Maha issued the order in a judgment on a fundamental rights enforcement suit: FHC/ABJ/CS/1695/2023 filed by a human rights activist and public interest attorney, Abubakar Marshal.

Also affected by the order are the Director of Road Transport; the Area Commander, Jabi, and the Team Leader, Jabi, and the Minister of the FCT, also listed as respondents.

In the judgment delivered on Wednesday, October 2, Justice Maha upheld Marshal’s argument that no law empowers respondents to stop, impound, confiscate, seize, or impose fines on motorists.

The judge declared that the first to the 4th respondents, who are under the control of the 5th respondent (Minister of the FCT) are not empowered by any law or statute to stop, impound, or confiscate the vehicles of motorists and or impose fines on motorists.

She proceeded to issue an order restraining the 1st to 4th respondents either through their agents, servants, and or assigns from impounding, confiscating the vehicle of motorists, and or imposing a fine on any motorist as doing so is wrongful, oppressive, and unlawful by themselves.

Justice Maha further made an order of perpetual injunction restraining the respondents whether by themselves, agents, privies, allies or anybody acting on behalf of the 1st respondent from further violating the rights of Nigerians to freedom of movement, presumption of innocence and right to own property without lawful justification.

 

Continue Reading

News

Naira redesign didn’t follow standard procedure, ex-acting CBN boss tells court

Published

on

Naira redesign didn’t follow standard procedure, ex-acting CBN boss tells court

Folashodun Shonubi, a witness in the trial of former Central Bank of Nigeria (CBN) governor Godwin Emefiele, told the High Court of the Federal Capital Territory (FCT) yesterday that the naira redesign policy did not follow standard procedure.

Shonubi, a former CBN Acting Governor, said there were intrigues and politics around the 2022 redesign policy.

The former Deputy Governor (Operations) said: “When we had meetings with the defendant (Emefiele), he said there were politics and intrigues around the whole exercise.”

Led in evidence by Rotimi Oyedepo (SAN), the witness said the redesigned naira notes produced by the CBN under Emefiele were not the same as those approved by ex-President Muhammadu Buhari.

He said the memo presented to the president for the redesign was solely prepared by Emefiele.

Shonubi said the normal procedure was for the Currency Management Department to recommend a redesign, after which a paper would be submitted to the Committee of Governors (COG) for consideration.

Upon the COG’s approval, the CBN Board would make a recommendation to the President.

The witness said after the President’s approval was received, the bank would then set up an internal committee to execute the currency redesign.

Shonubi, a member of both the COG and CBN Board, told the court that Emefiele killed the recommendation made in early 2021 by the bank’s Currency Department for a redesign.

He said: “The CBN did not follow the procedures (for redesigning the currency). I was a member of the CBN Board as Deputy Governor.

“The chairman of both the COG and board was the governor. In early 2021, the Currency Department recommended the redesign of the currency notes.

“A paper was presented to me and on the instruction of the governor (Emefiele). It was stepped down.

“In 2022, we again represented the paper and were asked to hold on.

“In mid-October 2022, the Deputy Governors were invited to a meeting in the office of the Governor where he (Emefiele) informed us that he had presidential approval for currency redesign.

“He showed us the memo, Mr President’s signature and instruction on the last page.”

Shonubi said under cross-examination by ace defence counsel Olalekan Ojo (SAN) that he was not aware of the discussions between the defendant and the former President over the redesign policy.

The Economic and Financial Crimes Commission (EFCC) is trying Emefiele on a four-count charge of illegal acts causing public injury.

He pleaded not guilty.

Justice Maryanne Anenih adjourned till Tuesday.

Continue Reading

News

Senate invites Umahi over Old Oyo-Ogbomosho road

Published

on

Section One Of Lagos-Calabar Coastal Highway To Be Commissioned May 2025

The Senate yesterday summoned the Minister of Works, Dave Umahi, over the deplorable condition of the Old Oyo-Ogbomosho Road.

The resolution of the Senate’s consideration of a motion of urgent public importance was moved by Senator Buhari Abdulfatai (APC – Oyo-North), who drew his colleagues’ attention to the worsening condition of the road.

Abdulfatai said the road, a major link between the South and North, had caused untold hardship for travellers, most of who were frequently stranded due to the poor state of the road.

For over 10 years after the Federal Government began major repairs on the road, Buhari said it had remained deplorable, causing regular accidents and daily gridlock by articulated vehicles.

Buhari in his lead debate underscored the im portance of good roads, saying apart from preventing avoidable accidents, it makes movement of goods and services easy.

He said: “The Senate is aware that transportation ensures stable prices in different markets and enables traders to regulate the supply of goods at locations, based on changing demands.’’

Continue Reading

News

UPDATED: Tinubu off to UK for two-week annual leave

Published

on

President Bola Tinubu will on Wednesday depart Abuja for the United Kingdom to begin a two-week vacation.

The vacation is “part of his yearly leave,” Tinubu’s Special Adviser on Information and Strategy, Mr. Bayo Onanuga, revealed in a statement he signed Wednesday.

The statement is titled ‘President Tinubu goes on annual leave.’

“He will use the two weeks as a working vacation and a retreat to reflect on his administration’s economic reforms.

“He will return to the country after the leave expires,” the statement read in part.

Sources close to the President had confirmed to our correspondent that Tinubu was taking the two-week break as part of his annual leave.

Wednesday’s trip comes two weeks after the President returned from London where he met with King Charles III.

The UK becomes Tinubu’s 27th foreign destination since he assumed office about 16 months ago and his fourth trip to the country.

So far, he has visited Equatorial Guinea, London (four times), the United Kingdom (twice); Bissau, Guinea-Bissau (twice); Nairobi, Kenya; Porto Norvo, Benin Republic; Pretoria, South Africa; Accra, Ghana; New Delhi, India; Abu Dhabi and Dubai in the United Arab Emirates; New York, the United States of America; Riyadh, Saudi Arabia (twice); Berlin, Germany; Addis Ababa, Ethiopia; Dakar, Senegal and Doha, Qatar.

Continue Reading

Top Stories