Electricity tariff hike: Most varsities will go bankrupt

The Vice Chancellor of the University of Benin, Professor Lilian Salami, has lamented the heavy toll the recent over 300 per cent electricity tariff hike has taken on Nigerian universities with most of the public institutions on the verge of bankruptcy.

Salami, who doubles as the Chairman of the Committee of Vice Chancellors of Nigerian Universities, said the new rate announced by the regulator, Nigerian Electricity Regulatory Commission has increased her university’s bill from N80 million, it was finding it difficult to pay, to 280 million per month.

Recall that the Nigeria Labour Congress and the Trade Union Congress as well as experts had opposed the tariff hike, arguing that this would drive manufacturers out of business, worsen inflation, and stifle small and medium enterprises.

Speaking with our correspondent in Abuja, she said the university has been painfully disconnected from the national grid because it could not afford to pay about N300 million monthly for electricity alone.

She said the development has led to a situation, where light is being rationed for about four hours a day in the university in view of the high cost of diesel.

She observed that this was however not going down well with the students who hitherto had been enjoying an electricity supply, sometimes 24 hours a week long.

“Right now what we going through is an electricity problem. Before now University of Benin could boast of at least 20 to 22 hours of light and that could run for weeks without a blink.

“But as soon as the tariff was up 300 per cent, we went from N80 million which was very difficult for us to pay per month to N280 million per month. That even came when the students were on vacation.

“So, we were looking to hit N300 million per month, no institution can survive paying that kind of money without declaring bankruptcy; we were on the verge of that, so we are saying to the students we can’t pay.

“Of course, the reaction we got from the power distribution company is to cut off the light, so right now, the light has been cut off. We are trying to use diesel and so we are now rationing light and the students are not happy; definitely, they can’t be when they used to have light 24/7, running into weeks, months and now you are saying to them you can only give them for four hours.

“So, they are not happy. If the students tomorrow go to the streets, it is not because we don’t want to give them, we cannot afford. Yes, we’ve gotten unrest for one reason or the other but it’s not deliberate on our part, that will be outside our own control,” she stated.

She highlighted some of her key achievements in the last four years, including massive infrastructure development with funding support from the Tertiary Education Trust Fund reduced cult-related activities to the barest minimum improvement in the welfare of staff and students, and introduction of new programmes among others.

In the same vein, Prof. Salami commended the Tertiary Education Trust Fund for its numerous intervention programmes in public universities and other beneficiary tertiary institutions.

She described TETFund as a “Messiah” that came to rescue tertiary education in Nigeria, saying that were it not for TETFund public universities in the country would have been glorified primary schools.

She noted that the current Executive Secretary of TETFund, Arc. Sonny Echono and his management team have given fresh dimensions to the management of the Fund, and focusing more on research and the use of technology to drive education.

She said, “TETFund to me is like Messiah that came to the tertiary education system. First of all, I want to thank ASUU (Academic Staff Union of Universities), who fought for and got us to where we are now with interventions.

“I always say that but for the intervention and the assistance we are getting from TETFund, most of our universities would have been gloried primary schools. Because, not only are they focusing on infrastructure, but they are doing beyond that; helping to revamp research output in universities, they are dealing with training and you know the role of training lecturers.

“We want to be abreast with the current information technology. Of recent, I think, the Executive Secretary of TETFund and his team have been focusing on technology, we know that that is where the world is going to, and where the world already is, and I often said that there is no waiting time, whether you join the bus now or you will be left permanently.

“So, we are doing a lot in the universities and thanks to TETFund, because they are now really focusing on technology in education; how to drive education with technology. We are all on the bandwagon now, so that we can at least be relevant in today’s world. Globally, everywhere, you talk about technology, so, we are not left behind. We give thanks to TETFund,” she stated.