Connect with us


NEWS

NERC gives reasons for electricity tariff increase

Published

on

Unveiling NERC's decision: Why electricity tariffs have been raised

In a press briefing held in Abuja, Musliu Oseni, Vice Chairman of NERC, addressed the recent tariff adjustment, shedding light on its scope and impact.

According to Oseni, the approved increase in electricity tariff, from N68/KWh to N225/KWh, will exclusively apply to customers enjoying a consistent 20-hour power supply nationwide.

This targeted approach aims to ensure that only those benefiting from uninterrupted power for a significant portion of the day bear the brunt of the tariff hike.

Customers in Bands B and C, however, will remain unaffected by the rate revision, providing relief to a considerable portion of electricity consumers across the country.

The decision to implement the tariff adjustment comes after a thorough evaluation of service provision by distribution companies.

NERC’s technological assessment revealed discrepancies in the service levels claimed by these companies, prompting the immediate downgrade of non-compliant feeders and reclassification of some customers from Band A to Band B.

Importantly, former Band A customers will not be subject to the rate review, maintaining the previous tariff rate for those accustomed to a 20-hour power supply.

To enforce the provision of uninterrupted power, distribution companies have been directed to establish rapid response teams in feeder locations.

These teams will ensure prompt responses to service interruptions and strive to maintain the 20-hour power supply commitment.

Failure to meet service obligations for seven consecutive days will result in an immediate feeder downgrade, with distribution companies required to publish explanations within two days for affected consumers.

This move underscores NERC’s commitment to ensuring transparency and accountability in the electricity sector while striving to provide equitable service to all consumers.

Trending