LCCI urges holistic approach to power sector problems

The Lagos Chamber of Commerce and Industry (LCCI) has called for a holistic approach in tackling the problems in the power sector to address consumers vulnerability.

Its Director-General, Mr Muda Yusuf, made the call in a statement on Monday in Lagos.

Yusuf urged the NERC to address the issue of the capacity of the Distribution Companies (Discos), estimated billing, technical and commercial losses, and metering problems.

He also said that quality and adequacy of investment by the discos, transmission issues, proposal on the decentralisation of the sector, promotion of off grid solutions and incentives for renewable energy solutions should also be resolved.

“The power sector problem is a multifaceted problem and it is not only about tariff. The approach should be holistic, otherwise the consumers would be vulnerable.

“Only recently, there was an increase, and now another is being proposed.

“The tariff question is no doubt one of the problems,” Yusuf said, adding that NERC should, however, also be doing something about the other issues.

The LCCI boss said that addressing these issues of concern would inspire the confidence of consumers.

He said it was also critical to disaggregate and interrogate the components of cost being claimed by the discos.

“NERC should protect the interests of consumers as well as that of the investors. There is also the social dimension of electricity provision to those at the bottom of the pyramid.

“Already, many small businesses have complained about prohibitive tariffs by discos following the last review.

“What is needed is a holistic reform rather than the simplistic solution of tariff review,” he said.