The Amalgamated Union of Public Corporations Civil Service Technical and Recreational Services Employees (AUPCTRE), the National Union of Electricity Employees (NUEE), and six other civic groups have called for the immediate reversal of Nigeria’s electricity sector privatisation and the recent hike in electricity tariffs.
The demand was made public on Friday, December 13, 2024, following a symposium in Lagos that discussed the socio-economic and political implications of privatising public assets and utilities in the country.
The groups also expressed their concerns about the potential privatisation of Nigeria’s water sector, following similar discussions backed by multilateral agencies like the World Bank.
The communique issued at the end of the symposium was signed by prominent groups such as the Renevlyn Development Initiative (RDI), Pan African Vision for the Environment (PAVE), Child Health Organisation (CHO), Committee for Defence of Human Rights (CDHR), Peace and Development Project (PEDEP), and Sustainable Research and Action for Environmental Development (SRADev Nigeria).
The symposium, supported by the DGB Bildungs Wek and Public Services International (PSI), was convened to address the ongoing challenges in the privatised electricity sector and the alarming trend of potential privatisation of the water sector.
Privatisation Failure in Electricity Sector
The groups focused their attention on the failed promises of the 2013 electricity privatisation, which they argue has done little to improve the nation’s power supply. In the communique, they noted that power generation has continued to fluctuate between 4000 megawatts and 5800 megawatts, failing to meet the energy demands of Nigeria’s 200 million citizens.
Comrade Benjamin Anthony, National President of AUPCTRE, expressed disappointment during his address at the symposium. He pointed out that the privatisation of the electricity sector was doomed to fail from the beginning. “We predicted that the failure of this privatisation would become a reality, and it has,” he said. “The same fate is awaiting the water sector unless we continue to fight against it.”
The groups outlined several key issues with the privatised electricity sector.
They highlighted the persistent grid collapses, with the most recent failure being the 24th crash in 2024. This recurring issue has made Nigerians more reliant on private generators, causing additional financial, environmental, and health burdens.
“We now depend on private generators for power, at great financial and environmental costs,” the communique stated. “This is a major problem for poor Nigerians who are struggling to pay for darkness.”
The groups also criticised the recent hike in electricity tariffs, describing the move as unjust and discriminatory. They pointed out that the introduction of electricity tariff bands has created a social class divide, with the poor being forced to pay higher prices for minimal power supply. “The tariff hikes are causing immense hardship to Nigerians,” the statement read. “This system creates an unnecessary class system in society, and the poor are the ones suffering.”
The Senate’s Stance on Electricity Privatisation
The Nigerian Senate had recently raised concerns about the failure of the electricity sector privatisation. However, the groups believe the Senate has not taken concrete action in terms of proposing a clear path forward.
“The Senate has acknowledged the failure of the privatisation, but they have not yet put forward any real solutions,” the communique stated. “We urge the Senate to convene a public hearing where Nigerians can voice their concerns about the electricity sector.”
Participants at the symposium also raised alarms about the trend where power distribution companies, in some instances, refuse to install infrastructure in local communities. Instead, these companies later claim ownership of these facilities, which were built by the communities themselves.
Concerns Over Water Sector Privatisation
Alongside the electricity issues, the groups expressed growing concern over the ongoing push to privatise the country’s water sector. The groups warned that this would have negative consequences for Nigerians, particularly the poor who may struggle to afford clean water. They voiced opposition to the involvement of the World Bank and other international agencies in the privatisation process.
“Privatisation is becoming a conduit pipe to fleece the nation,” said Comrade Anthony. “We must stop this before it’s too late. We must halt these plans to privatise our water and other essential services.”
The groups also warned against the Public-Private Partnership (PPP) model being promoted by the World Bank, which they claimed prioritises profits over public service and human rights.
Key Demands from the Groups
The groups issued several demands in their communique:
- They called for the immediate reversal of the electricity sector privatisation, urging the government to return the sector to full public ownership.
- They demanded a halt to discussions on privatising public assets and utilities, including water, and a rejection of the World Bank’s proposed initiatives.
- They requested the reversal of the recent electricity tariff hikes, and the end of the controversial tariff bands that segregate Nigerians based on their electricity usage.
- They called on the Nigerian Senate to convene a public hearing to allow Nigerians to air their views on the state of electricity sector privatisation.
- They pushed for a shift towards a Public-Public Partnership model, which they believe has been more successful in ensuring service delivery and human rights.
- They also advocated for sustained investment in human capital development in the public sector, to improve efficiency and transparency in government operations.
- Finally, they called for an end to practices that unfairly target workers during reforms meant to strengthen government institutions. Instead, they recommended that workers be regularly trained and rated based on their performance.
Workers’ Burden in Privatisation
The groups emphasised that workers continue to bear the brunt of privatisation efforts. Job losses, uncertainty, and insecurity in the workplace are significant concerns for employees in privatised sectors.
“Workers have paid a heavy price for this privatisation,” Comrade Anthony lamented. “It’s time to prioritise the welfare of Nigerians, not private interests.”
