The leadership of the National Assembly said it has convinced the Distribution Companies (DISCOs) in the country, to defer the hike in electricity tariffs scheduled to take effect from July 1, 2020.
This is according to a statement on Monday, by Ola Awoniyi, Special Adviser to the Senate President on Media.
He disclosed that the lawmakers met with the Chief Executives of the Nigerian Electricity Regulatory Commission (NERC), and the DISCOs, and were able to persuade them to postpone the planned increase of tariffs until the first quarter of 2021.
Ahmed Lawan, senate president, and the speaker of the House of Representatives, Femi Gbajabiamila, other principal officers and chairmen of the Committees on Power of the two chambers, attended the meeting.
According to Awoniyi, the leadership of the National Assembly established that the timing of the planned hike is wrong.
He added that the DISCOs, on their part, admitted that they are not well prepared for the planned hike in tariffs, despite the so much desire for the increase.
The meeting, according to the senate president’s aide, agreed to defer the planned hike until the first quarter of next year, while the leadership of the two chambers promise to meet with President Muhammadu Buhari on the issue.
“The agreement here is that there is not going to be any increase in the tariffs on July 1st,” Lawan was quoted as saying at the end of the meeting.
“The Speaker and I; we are going to take appropriate action and meet with the President. We are in agreement here that there is no question on the justification of the increase, but the time is simply not right and appropriate measures need to be put in place
“So, between now and the first quarter of next year, our task will be to work together with you to ensure that we put those blocks in place to support the eventual increase in tariffs”.
Lawan stated that the federal government has been doing a lot, as part of its obligations to provide some form of intervention.
He noted that over N600 billion has been earmarked to improve the power sector, stressing that the potential increase in the tariffs will be of concern to the national assembly.
“There is too much stress in the lives of Nigerians today, and indeed, across the world because of the challenges imposed by COVID-19 pandemic and even before then, we had issues that would always make it tough for our people to effectively pay the tariffs.
“One way or the other, for this business to flourish, for this sector to be appropriately fixed, for it to attract investment; something has to give way, there is no doubt about that but it is also crucial that we look at the timing for any of our actions,” he added.