The recent surge in electricity tariffs, as approved by the Nigerian Electricity Regulatory Commission (NERC), is anticipated to have adverse effects on small-scale businesses and enterprises in Nigeria, according to the Abuja Chamber of Commerce and Industry (ACCI).
Emeka Obegolu, the president of ACCI, expressed concerns in an interview with NAN, emphasizing that the tariff hike would pose significant challenges to businesses across various sectors of the economy.
Obegolu highlighted the existing struggles encountered by entrepreneurs and investors and stressed that small and medium enterprises (SMEs), which play a vital role in the economy, would bear the brunt of the tariff hike.
“The ease of doing business is critical for fostering economic growth, attracting investments, and creating job opportunities.
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“Regrettably, the increase in electricity tariffs can hinder these efforts by imposing additional financial burdens on businesses, especially SMEs, which are the backbone of our economy,” he said.
The Trade Union Congress, Nigeria Labour Congress, Lagos Chambers of Commerce, Centre for the Promotion of Private Enterprises, and various other organizations have collectively voiced their opposition to the recent tariff increase.
Nevertheless, the Nigerian Government has clarified that the tariff adjustment aims to reduce the country’s electricity subsidy burden by 52 percent.
Also, they assure that 85 percent of electricity consumers will continue to benefit from subsidies.
