Electricity Tariffs: RSM Urges Nigerian Workers to Initiate Widespread Protests Against Tinubu's Administration

The announcement regarding the new electricity rates was made on Wednesday, April 3, and they were implemented right away.

The Revolutionary Socialist Movement (RSM) has labeled the recent surge in electricity rates by the Nigerian Electricity Regulatory Commission (NERC) as yet another policy that negatively impacts the poor.

This adjustment has led to a staggering increase of over 330% for consumers within the Band A tariff segment, escalating from N68/Kwh to N225/Kwh.

Adebayo Adelabu, the Minister of Power, explained during a briefing in Abuja that the elevation in electricity rates marks the beginning of a program to phase out electric subsidies in the nation.

He outlined the government's intention to eliminate all subsidies within this sector to encourage investments in the electricity domain.

Nonetheless, Salako Kayode, the RSM's Publicity Secretary, emphasized in a Thursday release that this isn't the first instance of subsidy removal during Tinubu's tenure.

The organization highlighted that the government initially eradicated PMS subsidies, subsequently supervising a significant 350% price hike in PMS. This led to an increase in transportation costs, goods, services, and the overall living expenses.

It has urged both the NLC and TUC along with other affiliated unions to escalate their efforts beyond just press releases. The unions are encouraged to organize and rally workers for a major protest to contest the lack of sensitivity shown by Tinubu's government.

The release partly states, "As previously cautioned during that period, removing subsidies without a solid action plan will merely augment the burdens faced by working individuals. Sadly, the labor movement's leadership failed to lead workers in demanding the reimplementation of the subsidy, instead negotiating for a minor, temporary wage increase of N35,000.

"Additionally, the Federal Government under Tinubu proceeded with floating the Naira. We had warned that an economy like Nigeria's, heavily dependent on imports, cannot entirely float its currency in the global market.

This action led to the Naira plummeting from about N700 to N1,900 per dollar, indicating roughly a 271% depreciation against the dollar. This development has further exacerbated inflation on basic foods and household items, stirring another wave of protests known as the ‘EndHunger’ movement. Although there has been some recovery in the Naira’s value recently, it has drained the nation's foreign reserves.

"Adding to these woes, the Tinubu administration has decided to cut the electric subsidy, gradually removing the few benefits enjoyed by ordinary citizens.

The same administration, which fails to ensure citizen safety or provide academic funding, believes the path to improvement lies in withdrawing national subsidies, thereby subjecting people to higher living costs and economic instability.

Truly, this policy is poised to deepen the financial struggles for Nigerians already grappling with the effects of fuel subsidy removal and naira devaluation. The decision to hike electricity fees demonstrates a lack of empathy, as it will predominantly burden workers by increasing prices of goods and services while wages stagnate.

Even with a potential salary review, personal and small businesses, including farmers and merchants, will gain little to nothing. It's likely to turn the business environment even more hostile for manufacturers and small enterprises, possibly causing more shutdowns and job losses.

We, at the Revolutionary Socialist Movement, are convinced this policy aims to widen the disparity between the affluent and the poor, enriching the DISCOs who have not improved power supply and delivery since assuming control over the electricity sector.

The crisis in the power sector can only be resolved through re-nationalizing it, ensuring it's democratically managed and controlled by workers. Since privatizing, Nigeria has funneled trillions of Naira into bailouts and subsidies for private firms without seeing tangible improvements.

Moreover, the frequent collapses of the national grid, with five occurrences between January and March 2024 alone, and three collapses within five days in September 2023, underscore the failure of privatization. On December 12, 2023, the grid plummeted disastrously from 4,000MW to 43MW. These incidents signal the need for re-nationalization to place the power sector under public ownership and democratic worker management.

This shift could reduce electricity costs by removing the profit motives of wealthy stakeholders, thereby making it affordable for the entire Nigerian populace.

We call upon the NLC, TUC, and their affiliate unions to push this fight beyond mere statements. It's time to organize and galvanize workers for a significant demonstration against the Tinubu regime's insensitivity.

Such endeavors shouldn't just aim at overturning electricity tariffs but also at advocating for the power sector's re-nationalization. When a real movement begins, the RSM will join and contribute actively to the cause.