Nigerian Labour Unions Issue Ultimatum Over Electricity Tariff Hikes, Threaten Nationwide Industrial Action
Nigeria’s prominent labour organizations, the Nigeria Labour Congress (NLC) and the Trade Union Congress (TUC), have delivered a stringent warning to the Federal Government, indicating their readiness to embark on a comprehensive nationwide industrial action. This decisive move comes as a direct challenge to the recent substantial increase in electricity tariffs for customers categorized under Band A, which the unions have unequivocally described as unjustifiable and an additional burden on struggling Nigerians.
The core demand from the labour centres is an immediate reversal of the revised tariff structure, which saw electricity costs for consumers receiving a minimum of 20 hours of power supply soar by over 200 percent. Union leaders contend that this increment, enforced without adequate consultation or consideration for the prevailing economic hardships faced by citizens, constitutes an exploitative measure by the Nigerian Electricity Regulatory Commission (NERC) and power distribution companies.
According to statements from NLC and TUC leadership, Nigerian households and various businesses are already reeling from the compounded effects of subsidy removal on petrol and the persistently high rate of inflation. They argue that imposing such a significant hike in electricity expenses will further diminish the disposable income of citizens, stifle the growth of small and medium-sized enterprises (SMEs), and deepen the pervasive poverty levels across the nation. The unions also question the rationale behind increased tariffs without a commensurate improvement in power supply quality for the majority of the populace.
In its earlier defence of the tariff adjustment, the NERC had cited the imperative for cost-reflective tariffs to attract vital investments into the power sector, enhance dilapidated infrastructure, and ensure the long-term sustainability of electricity generation and distribution. While the government maintains that the new rates predominantly affect a segment of consumers enjoying superior service, labour bodies insist on the potential ripple effect on the broader economy and the common Nigerian.
Should the Federal Government fail to address the unions’ demands within the specified period, the proposed industrial action could bring essential services to a standstill, cripple economic activities, and potentially lead to widespread public demonstrations. This escalating tension places significant pressure on government authorities to engage in dialogue and find an amicable resolution with labour unions to avert a complete national shutdown.