The former chairman, Manufacturers Association of Nigeria (MAN), Ogun Chapter, Mr Wale Adegbite on Wednesday faulted the new increment in electricity tariff in the country.
Adegbite told Akelicious in Ota, Ogun that the tariff increase was not justifiable.
Akelicious reports that the new electricity tariff by Electricity Distribution Companies (DisCos) takes effect from Sept. 1 across the country.
The increment ranges from 60 per cent in places like Ikeja, to about 73 per cent in Abuja and about 78 per cent in Enugu respectively.
Adegbite noted that the tariff increment would lead to significant increase in the cost of production in Nigeria.
He added that electricity constituted a significant input in the manufacturers’ production process.
He also said that the increase in the cost of production would, in turn, results in hike in prices of goods.
“The development will eventually lead to increase in prices of goods produced by manufacturers, which will automatically result to increase in inflation,’’ Adegbite said.
He urged the Federal Government to provide enabling environment for manufacturers to thrive as they were already faced with numerous challenges.