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Court Stops Planned Electricity Tariff Hike

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A Federal High Court sitting in Lagos has ordered electricity Distribution Companies (Discos) not to hike electricity tariffs as announced by the Nigeria Electricity Regulatory Commission (NERC) pending the determination of a motion challenging it.

It was learnt on Tuesday that the Senate might summon the DisCos, Minister of Power Saleh Mamman; NERC Chairman James Momoh and other relevant stakeholders in the sector over the planned tariff hike.

The NERC on December 31 directed the DisCos to raise their rates by over 70 percent to enable them to have enough capital to pay for electricity distributed by them.

But following public outcry, NERC back-pedaled, promising that consultations with consumers and other stakeholders would be carried out to determine if or not the new rate would stand.

At the hearing of a suit by the Incorporated Trustees of Human Rights Foundation against 15 respondents in the electricity industry, Justice Muslim Hassan ordered the parties to maintain the status quo.

The respondents are: NERC, the Bureau of Public Enterprises (BPE); the Nigeria Bulk Electricity Trading Company Plc; and the Minister of Power.

Also joined as respondents are Abuja, Benin, Enugu, Ikeja, Kaduna, Kano, Port Harcourt, Yola, Eko, Ibadan and Jos DisCo.

In its suit, the NGOs filed an ex parte motion praying the court to stop the new tariff from coming into effect.

The applicant contended that “the implementation of the purported minor review of the Multi-Year Tariff Order would create “unquantifiable hardship and damages” on electricity consumers.

“Consumers will be made to pay very high tariff, which has been increased by over 40 percent across the board of which is currently being billed.”

In an affidavit deposed to by Theodora Ubabunike, the human rights group said: “It will amount to a great injustice to impose arbitrary electricity tariff on Nigerian electricity consumers.

“Nigerians will suffer monumental loss as many people will not be able to access power or access same at very high tariff. I know that Nigerians are entitled to access public amenities like electrical power.”

In arguing the application on Monday, the applicant’s counsel, Anaje Chinedu, prayed for “an order of interim injunction restraining NERC from taking any step towards the implementation of the purported Minor Review of the Multi-Year Tariff Order 2015 and the Remittance Order 2019,” pending the hearing and determination of the motion on notice .

Justice Hassan declined to grant the ex parte application, but said “the status quo ante bellum shall be maintained by the parties in this suit pending the determination of the motion on notice.”

He adjourned till January 20, 2020 for the hearing of the motion on notice.

However, a member of the Senate Committee on Power said in Abuja yesterday that the upper arm of the National Assembly might invite the stakeholders to know why the increment was unilaterally done by NERC.

The member, who asked not be named added that “it will be insensitive on the part of the Senate to gloss over the increase posted on NERC’s website.”

Arguing that “such far-reaching tariff increase should not be carried out without Senate input,” he noted that “the outburst of Nigerians, organisations and corporate bodies against the proposed increase should not be ignored.”

He said the Committee on Power, with the approval of Senate President Ahmad Lawan would articulate a position through a motion on the tariff increase on resumption of plenary January 28.

The Senator explained that it was necessary to get the backing of Lawan to ensure that the motion sailed through.

He added that “even though it is necessary for the DisCos to break even while providing power to Nigerians, it is also important to ensure due process.”

The lawmaker also noted that the intervention of the Senate in the raging anger over the new tariffs might mitigate legal tussle over the issue.

He said: “Nigerians must not be left with the impression that there is nobody to speak for them. This is a critical moment in the life of our country.

“The Senate has an overarching function to perform to assuage the feelings of our people. Stakeholders in the electricity sector should be carried along for their input.

“Some of us are already working on a draft motion pending the approval of the Senate President.”

He also pointed out that the complaints of corporate bodies and other consumers should not be swept under the carpet.

According to him, the issue of comprehensive metering of consumers and assurance of constant power supply should be looked into.

“It is not just a tariff increase. What is there for consumers after a possible increase should be clearly stated,” he insisted.

Also in Abuja, Senate Minority Leader Enyinnaya Abaribe said that Nigerians might be interested in knowing who NERC planned to consult.

Abaribe, who is also the Vice-Chairman, Senate Committee on Power, noted that to the best of his knowledge, the upper chamber of the National Assembly was not consulted in what NERC pushed out to the public.

“I can confirm one thing to you. The Senate Committee has not yet been consulted. I guess the consultation will come after we return. That is number one,” he said. .

He added that he would want to know why consumers in the South-East pay more for electricity in the country in the calculation of NERC.

His words, “ Well, I think they are within their rights. It is the job of NERC to determine electricity tariffs. But for me, I have a question, which when they come for the consultation, I will ask them. And that question is that based on what they have put out as the current tariffs that are already existing, I would like to know the reason why the Southeast is paying more than any other part of the country.

“I need to know who made that calculation and why. I think there is a lot of questions that we would have to ask when we get to that stage.”

BIG STORY

Federal Government Earmarks N827bn For Education Infrastructure In 2025 Budget

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Nigeria’s President, Asiwaju Bola Ahmed Tinubu, has announced that the Federal Government has disbursed a total of N34bn in loans to students studying at tertiary institutions across the country through the “Nigeria Education Loan Fund.”

The President made this statement on Wednesday while presenting the N49.7tn 2025 budget estimates to a joint session of the National Assembly. He also highlighted that the government has allocated N826bn for infrastructure development in the education sector for the 2025 fiscal year.

He stated, “Our administration has so far disbursed N34bn to over 300,000 students via the Nigeria Education Loan Fund.”

“In the 2025 budget, we have made provision for N826.90bn for infrastructure development in the educational sector. This provision also includes those for the Universal Basic Education and the nine new higher educational institutions.”

He continued, “We are convinced that Universal Health Coverage initiatives will strengthen primary healthcare systems across Nigeria. In this way, we have allocated N402bn for infrastructure investments in the health sector in the 2025 budget and another N282.65bn for the Basic Health Care Fund.”

“Our hospitals will be revitalised with medication and better resources, ensuring quality care for all Nigerians.”

“This is consistent with the Federal Government’s planned procurement of essential drugs for distribution to public healthcare facilities nationwide, improving healthcare access and reducing medical import dependency.”

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BIG STORY

President Tinubu Targets N1,500 Per Dollar Rate In 2025 Budget Goals

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Nigeria’s President, Asiwaju Bola Ahmed Tinubu, on Wednesday, stated that the Federal Government aims to stabilise the exchange rate at N1,500 to the dollar to ensure the smooth implementation of the 2025 budget.

This marks a reduction of about N200 from the current rate of N1,700 to a dollar.

President Tinubu made this known while presenting the 2025 Appropriation Bill to a joint session of the 11th National Assembly in Abuja.

“The budget projects that inflation will decline from the current rate of 34.6% to 15% next year, while the exchange rate will improve from approximately N1,700 per dollar to N1,500. The base crude oil production assumption is set at 2.06 million barrels per day”, he said.

“The projections are based on the following observations: reducing the importation of petroleum products, increasing exports of refined petroleum”. He added.

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BIG STORY

JUST IN: 32 Reportedly Die In Ibadan Children Programme Stampede

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At least 32 people have tragically lost their lives during a stampede at a children’s carnival in Ibadan, the Oyo State capital, in the early hours of Wednesday.

A statement from the Commissioner for Information and Orientation, Prince Dotun Oyelade, revealed that the stampede occurred at a private children’s funfair at Islamic High School, Basorun, resulting in the deaths of 32 people, mostly children, with some others sustaining injuries.

He mentioned that the state government promptly deployed a rapid response team to the site following the incident.

The commissioner confirmed that the victims have been transported to various hospitals across Ibadan for medical treatment.

While thanking the Commissioner for Health, Dr. Oluwaserimi Ajetunmobi, for quickly activating all available response teams to assist at the scene, Oyelade emphasized that the state government will do everything possible to support the victims of the stampede during this difficult time.

He noted that the sate government was not involved in the planning of the carnival, adding that the Ministry of Health was also not carried along in the organisation of the private end of the year children funfair.

Oyelade emphasised the importance of proper coordination when organising events of such magnitude, especially those involving children and elders.

“We are currently awaiting a detailed report from the Commissioner of Police to clarify the total number of victims involved in this unfortunate incident,” he said.

The commissioner urged parents who are concerned about the whereabouts of their children to check the following medical facilities in Ibadan where affected children were taken for proper medical attention, with a valid means of identification:

  • Patnas Hospital, Basorun
  • Western Hospital, Basorun
  • Ringroad State Hospital
  • Molly Specialist Hospital
  • University College Hospital (UCH)

“Oyo State Government extends its deepest sympathies to the families affected by this tragedy while also urging the public to remain calm and cooperative as relevant pieces of information are gathered and necessary supports arranged for the victims,” he added.

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