Labour Issues Deadline as FG and Committee Reconvene over New Minimum Wage

The Federal Government, under President Bola Ahmed Tinubu, has contested the organized labor’s resistance to the electricity tariff hike and subsidy removal in the sector.

Florence Eke, the spokesperson for the Ministry of Power, revealed this during an interview with The PUNCH in Abuja.

She stated that the Minister of Power, Adebayo Adelabu’s defense of the electricity tariff hike at the Senate public hearing the previous week remained valid.

She emphasized that the government was not aligning with the trade unions’ stance on the electricity tariff issue, citing the unsustainable burden of electricity subsidies on the government.

This statement comes amid the backdrop of the two-week ultimatum issued by organized labor demanding the reversal of the tariff increase.

However, the Trade Union Congress remained steadfast in its demand for the reversal within the stipulated time frame.

Similarly, the President of the Nigeria Labour Congress, Joe Ajaero, criticized the tariff hike, arguing that the government cannot set tariffs in a sector that is already deregulated.

The Nigeria Electricity Regulatory Commission announced the tariff hike for Band A customers, revealing a significant increase from the previous rate.

Subsidies on electricity were completely withdrawn from the Band A category, representing about 15 percent of total power consumers nationwide.

The Federal Government projected substantial savings due to the tariff hike, aiming to save N1.5 trillion while ensuring that Band A customers receive up to 20 hours of daily power supply.