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How NERC’s New Commercial Billing Threatens Healthcare, Economy
The crippling impact of the newly introduced electricity billing, which classifies locations and businesses into two buckets of Band A or Band B has been decried.
President, Save-A-Life Foundation, Dr Richard Okoye, has expressed grave concerns about the scary electricity bill served on his hospital in Rivers State by the Port Harcourt Electricity Distribution (PHED).
His outcry was contained in a video clip which went viral on Thursday,
Following the new billing classification, which put his hospital in Band A, Dr Okoye was aggrieved that his monthly bill jumped to N25,300,000, which he noted would have devastating effects on the healthcare sector in Nigeria, as well as other businesses.
Dr Okoye is not the only person speaking up against the excessive hike in electricity bills.
President, the Trade Union Congress (TUC), Festus Osifo, had made a similar call during the May Day Rally in Abuja, where he strongly urged the Nigerian Electricity Regulatory Commission (NERC) to reverse the tariff hike within a week.
Osifo maintained that keeping the current billing levels would have severe impact on Nigeria’s economic growth, thus stressing the urgency of effective energy management to prevent further setbacks.
He maintained that the “glaring incompetence in managing this sector for the collective welfare of our citizens,” is a major factor constraining Nigeria’s economy.
The labour leader asserted that, “It is unethical to force Nigerians to pay higher tariffs for non-existent electricity. Estimated billing is an extortion and a daylight robbery against Nigerians.
Recall that the NERC on April 3, 2024 approved a significant increase in electricity tariffs for customers falling under the Band A classification.
Vice Chairman. NERC, Musliu Oseni, declared that the adjustment would raise the rate from the current N66 per kilowatt-hour to N225 per kilowatt-hour.
Though the billing reviews introduced by the NERC had attracted wide condemnation from Nigerians, the government had opted to stand behind the Commission.
For the government, the over 300 percent upward review was a take-it or leave-it for electricity consumers.
Nigeria’s Minister of Power, Adebayo Adelabu, who defended the scandalous review before the Senate pointed to the cost of infrastructure required to keep the sector running.
In his opinion, the only way to make the sector attractive to investors was to get the consumers to bear the cost of building and maintaining the infrastructure, which would also make the sector bankable.
Adelabu said, “For this sector to be revived, government need to spend nothing less than 10 billion dollars annually in the next 10 years.
“This is because of the infrastructure requirement for the stability of the sector. But government cannot afford that. And so we must make this sector attractive to investors and to lenders.
“So for us to attract investors and investment, we must make the sector attractive, and the only way it can be made attractive is that there must be commercial pricing.”
However, Dr Okoye’s position, which Netizens applaud, is that the government’s decision to jerk up Band A’s tariff, would be an epidemic against the healthcare sector and other busiensses.
He described moving from paying N66 per kilowatt to N225 per kilowatt as a ‘Band A tariff epidemic”, capable of destroying the healthcare system of Nigeria.
Dr Okoye said, “By reason of us (the hospital) being in Band A, our monthly power bill is now shooting up to N25,300,000. That’s crazy; the hospitals are not business centres but only renders essential services to society.
“This Band A tariff epidemic is bound to destroy the country’s healthcare system.
“We are already struggling with an influx of doctors leaving the country. The majority of the healthcare system is struggling, as it were. If nothing is done to urgently revisit that decision, the Band A tariff epidemics will turn most hospitals into morgues. Something that could be preventable.
“Power (electricity) is the life of the healthcare delivery. Patients have hope and a sense of living again when the light is in the hospital. In addition to that, the majority of emergency drugs and anaesthetic drugs always want to be at a particular temperature which can be sustained by electricity. If this decision persists, it will come to a point where most of the drug will be in an unusable state, and it is already happening.”
Narrating his experience during a medical engagement to elaborate on the need for a hospital to be on steady power supply, Dr Okoye pointed out that an elderly woman who was supposed to be operated upon was given the requisite volume of propofol needed for her to relax but could not sleep because the potency of the drug has reduced due to poor storage, occasioned by inadequate power supply.
“We were surprised and thought the woman was alcoholic, and the anaesthetic increased the dose a little and asked again, only for the woman to confirm that she was fine again.
“After evaluation, it was discovered that though the drug was original but not well preserved, it would lose potency.
“That is to say, those who are diabetic in Nigeria should brace up because the majority of them would see no way to buy their drugs.
“In fact, they need to travel miles to get a hospital with a steady light to get drugs they are taking.
“While this Band A is on, teaching hospitals and Federal Medical Centres which used to enjoy some relative form of light because perhaps they would not be billed like other people. They are now downgrading them to Band B and channelling Band A to those they feel can pay to the detriment of the people.
“I can count on and on. Power (supply) is what determines whether a surgical procession would be successful or not. It determines the ‘before and after’ outcome of any surgery.”
“If the instruments are not properly sterilised, they may be the ones resistant to all antibiotics known, that even when we start getting it right, the worst has already happened,” Dr Okoye pointed out.
According to him, the Nigerian government must act fast in this regard to avoid it having a severe impact on the hospitals, the healthcare system, the health of Nigerians, and businesses generally.
“My heart melts when a teaching hospital can pack its instruments to go and sterilise in another hospital because it doesn’t have light. The FG should act because it is preventable as it is now,” he stressed.
It would appear thought that the government might not have the final say on this, as a Federal High Court in Kano had already issued restraining orders on the NERC and the Kano Electricity Distribution Company (KEDC).
The court ordered the parties to refrain from implementing the new electricity tariff for Band A consumers.
The Federal Government has reaffirmed its support for the rights of Nigerian citizens, especially young people, to stage protests and express their dissatisfaction with pressing national issues.
However, it cautioned that such actions must remain peaceful and must not result in the destruction of public infrastructure.
Minister of Youth Development, Comrade Ayodele Olawande, made this known in Abuja on Monday in response to recent youth-led protests across parts of the country.
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“Everyone has the right to protest. In fact, if I had the time, I would join the protest myself. There is freedom of expression for all. The young people who are protesting have valid reasons, they see certain issues and feel the need to speak up,” Olawande said.
While backing the right to demonstrate, the minister emphasized the importance of maintaining peace and order during such actions.
He warned that any attempt to damage national infrastructure under the guise of protest would not be tolerated.
“However, while exercising this right, let it not escalate into something else. We will not allow anyone to destroy the infrastructural developments that support our economy and the progress we’ve made in this country,” he stated.
He further urged protesters to express their concerns in ways that do not obstruct public movement or endanger lives, suggesting that peaceful advocacy is more effective and likely to attract genuine attention from authorities.
“Yes, you have the right to speak, to come out and make your voice heard even to stand by the roadside but do not block the roads. Find a peaceful way to express your concerns; people will listen. If I have the opportunity, I’ll be there to speak with them as well.”
Olawande assured that the government is not opposed to demonstrations, but stressed that such activities must be carried out with a sense of responsibility and respect for public property.
“Protesting is a normal part of any society, and we are here to listen. No government is saying you shouldn’t protest but there must be limits and a sense of responsibility,” he added.
Edo State Governor, Senator Monday Okpebholo, is of the view that a wave of massive defections will soon hit opposition political parties in the South-South zone ahead of Nigeria’s 2027 elections.
He bared his mind over the weekend at a special reception in his honour at Ewatto, Esan South East local government area of Edo State after his victory at the election petition tribunal ruling.
He expressed gratitude to Edo people for their support, prayers, and counting him worthy to lead the State and assured the people that Edo would progress and develop under his watch.
In his words, “The people of Edo State will not regret voting me as their Governor. I am happy today that l am in a winning party. A party that was rejected by all and now has become the party that everybody wants to join. APC has come to stay as the government at the center is APC.
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“Very soon, there will be a lot of defections into the APC. People will move and cross carpet from PDP, LP and other opposition parties into the APC and that will be the beginning of South South keying into the reform agenda of President Bola Ahmed Tinubu.
“Today, I am happy and proud to say that I am a son to the President of the Federal Republic of Nigeria. I am also proud to say I carry uncommon grace and uncommon transformation which I am already using to transform and develop Edo State.
“Words that come out of my mouth are prophetic and i am using these words to develop Edo State. My administration is working to ensure motorable roads and reducing traveling time for our people.
“Our development is also covering other neighboring States because South South must speak with one voice as we approach 2027.”
He had kind words for the royal fathers.
“I want to use this opportunity to appreciate our royal fathers for their support and prayers. I also appreciate Edo people for finding me worthy to cast their votes for me on September 21st governorship election in Edo State.
“It is not easy to run two elections in a year and win the two offices. I give God the glory. I am not the talking type and never interested in politics, but really want to develop Edo State.
“In 2021, we looked for an Esan man that would contest for Senate and we did not find any one who wanted to contest under the All Progressives Congress (APC) as everyone wanted to contest under the Peoples Democratic Party (PDP).
“The drive to contest came in 2022 when some people came to appeal to me to contest for the Senate and our discussion became an eye opener which led me into contesting for the Senate seat.
“I lost a beloved sister due to bad water which she consumed and I vowed to ensure good water is available across the State.
“I am really going to ensure good water runs in Edo State. Our development will not just be roads, schools, healthcare, providing the people with good drinking water across the State.”
The Governor and his entourage visited the place of the Onojie of Ewatto, HRH Osagie Sylvanus Ikhumen I, who was joined by other traditional rulers from Edo Central who received the Governor and prayed for the success of his administration.
He also inspected Chief Lee Ikpea’s Medical Center, Idumuiyase, Ewatto, where he was taken round the facility of the hospital, which is yet to be completed by the donor, Dr. Lemon Ikpea.
The Ondo State Police Command has cautioned residents against participating in the planned protest by the ‘Take It Back Movement’ scheduled for Monday, warning that the demonstration could be hijacked by criminal elements.
In a statement issued in Akure, the state capital, the Police Public Relations Officer, SP Ayanlade Olushola, said the command had received credible intelligence indicating possible threats to public safety if the protest goes ahead.
“The effort of the command is to stabilise the security situation across the state, and we are concerned that such a gathering could be hijacked by unscrupulous elements,” he said.
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“This could lead to a breakdown of law and order, thus rolling back the security gains we have collectively achieved in Ondo State.”
While reaffirming the citizens’ right to peaceful assembly and freedom of expression, Olushola urged the organisers of the protest to seek alternative means of voicing their concerns.
“We, therefore, urge the leadership of the ‘Take It Back Movement’, their supporters, and other interest groups to embrace constructive dialogue as a means of addressing grievances. If they take to the streets in such a manner, it may heighten tensions and heat up the polity,” he added.
The statement further disclosed that the Commissioner of Police, CP Wilfred Afolabi, has ordered all Area Commanders, Divisional Police Officers, and Tactical Team Commanders to deploy personnel and operational assets across the state to prevent any breakdown of law and order.
“The general public is hereby encouraged to go about their lawful business without fear, as adequate security measures have been put in place to guarantee the safety and protection of all citizens,” the PPRO said.
He also called on parents and guardians to discourage their children and wards from engaging in actions that could threaten the peace and stability of the state, while urging residents to report any suspicious activity to the nearest police station or security agency.
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