• Saturday, July 20, 2024
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Electricity tariff: NACCIMA advocate a transparent, gradual approach in implementation

Nigerian Association of Chambers of Commerce, Industry, Mines, and Agriculture (NACCIMA) has decried the recent increase of electricity tariff as announced by the Nigerian Electricity Regulatory Commission.

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In a statement issued to BusinessDay on Wednesday, Dele Oye, the National President, NACCIMA, said that the organised private sector was not consulted as recognised key stakeholders, adding that the tariff increase will have a systemic impact on energy intensive industries.

Musiliu Oseni, the vice chairman of the Commission, who addressed a press briefing earlier had announced the new tariff under which customers in Band A, who are offered at least 20 hours electricity per day are expected to pay N225/kWh.

Read also:Electricity tariff now N225/KWh as NERC approves jumbo increase

According to him, the Association recognizes the challenges faced by the electricity industry and need for cost reflective tariffs. “However, we believe a planned restructuring of the current electricity distribution structure will achieve optimal results.

“We have received with shock the recent increase in electricity tariffs which amounts to a more than 300 percent increase.

“We will advocate for a transparent and gradual approach in policy implementation, emphasizing the need for broad stakeholder engagement to mitigate adverse effects on business competitiveness and consumer prices.

“As we diligently work towards a balanced energy sector, we call for ongoing dialogue with NERC to ensure that future tariff structures are equitable, reflective of economic conditions, and conducive to the growth and stability of our industries.

“We remain dedicated to collaborating with all stakeholders to support the development of a robust electricity market that drives industrial growth and national prosperity,” it stated.