The Manufacturers Association of Nigeria (MAN) has decried the incessant increase in electricity tariff, stating that it hinders the performance of the sector and growth of the economy.
According to MAN, the persistent tariff hikes without commensurate improvement in power supply will exacerbate the impact of high production costs, worsen inflation, and lead to business closures.
MAN Director General, Segun Ajayi-Kadir, emphasized that Nigeria’s industrial development is hindered by the lack of energy security, which is timely access to sustainable and cost-effective energy.
He advocated for a review of the performance of power distribution companies (DisCos) and a study on the impact of tariff increases on the manufacturing sector.
MAN also highlighted that the installed capacity of 10,000MW has not been fully utilized due to the limited capacity of generation and distribution companies.
The association urged the government to commission a review of the power sector and audit the commitment of DisCos to investing in distribution infrastructure.
