Electricity Tariff: Manufacturers Association of Nigeria (MAN) Advocates for Downward Review
The Manufacturers Association of Nigeria (MAN) recently voiced out their concerns regarding the approval of a 250 percent increase in electricity tariffs by the Nigerian Electricity Regulatory Commission (NERC) for distribution companies. The Director General of MAN, Segun Ajayi-Kadir, emphasized that such a considerable hike in tariffs would pose a severe threat to the survival of manufacturers.
During an interactive session at the 2024 pre-Annual General Meeting (AGM) media briefing in Lagos, Ajayi-Kadir highlighted the importance of extending the same discount granted to universities and hospitals to manufacturers as well. He mentioned that if the government can provide a 50 percent discount to these institutions, manufacturers who also contribute significantly to job creation and export improvement should be considered for the same benefit.
MAN had previously taken NERC and distribution companies to court over the tariff issue, however, the case was dismissed on grounds of abuse of court process. Ajayi-Kadir expressed the growing concerns among members and urged for government intervention to prevent potential shutdowns and job loss.
This highlights the critical need for a fair and reasonable electricity tariff structure to support the growth and sustainability of manufacturers in Nigeria, ultimately contributing to the overall economic development of the country.