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No plans to increase electricity tariff yet – Nigerian Electricity Regulatory Commission

by Sodiq Lawal Chocomilo
January 6, 2020
in Metro
Reading Time: 1 min read
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Days after reports of increment in electricity tariff plans went viral, the Nigerian Electricity Regulatory Commission (NERC) has denied the increment reports.

This was disclosed in a statement signed and released by the PRO of the commission, Usman Arabi.

The commission says it has no immediate plans to increase electricity tariff.

”The attention of the NERC has been drawn to the publication in several electronic and print media that end-user electricity tariffs have been increased following the approval of the minor review (2016 – 2018) of the 2015 Multi Year Tariff Order on Aug. 21, 2019.  We wish to provide guidance that the minor review implemented by the commission was a retrospective adjustment of the tariff regime released in 2015.

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This is to account for changes in macro-economic indices for the years 2016, 2017 and 2018 thus providing certainty about revenue shortfall that may have arisen due to the differential between tariffs approved by the regulator and actual end-user tariffs.

The commission therefore wishes to notify the general public that no tariff increase has been approved by the commission vide the order.”

The statement further added that the NERC, in the discharge of its statutory responsibilities enshrined under the Electric Power Sector Reform Act would continue to undertake periodic reviews of electricity tariffs in accordance with the prevailing tariff methodology and that the commission will widely consult with stakeholders on electricity tariff increment whenever the need arises.

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