Electricity Tariff Increase: Senate Demands Reversal, Accuses NERC Of Compromise


The Senate has expressed serious reservation and outright dismay over what it described as the clear compromise and being an accomplice to Electricity Distribution Companies (Discos) by Nigerian Electricity Regulatory Commission (NERC).

The Senate position which was expressed through its Committee on Power, also expressed bitterness over the increase in Electricity tariff, stressing that going by the presentation of NERC, it was clear that it was talking in defence of Discos that are cheating Nigerians through estimated billings.

The Senate Committee members in a unanimous decision, said that NERC has seriously been compromised thereby allowed the DiScos to continue to misbehave against Nigerians in the most draconian way without checks whatsoever.

The Senate committee on Power therefore directed NERC to immediately reverse its earlier announced new Electricity tariff regime on Band A, and should embark on full consultation with the stakeholders on power before effecting any further increment in accordance with the Electricity Act of 2023 as amended.

The resolve of the Senate followed the announcement of a new tariff regime increments on consumers in spite of lack of value added to the epileptic poor supply of electricity in the country.

The Senate Committee on Power which took its time to listen to the complaints of the Manufacturing Association of Nigeria (MAN), Central Bank of Nigeria position (CBN), Distribution Companies of Nigeria (DiScos) and the NERC through its Chairman, Sanusi Garba, his Commissioner on Legal and Licensing Compliance, Dafe Akpeneye, noted that the increase in tariff was totally uncalled for and did not comply with laid down process and procedure, thus, directed for a reversal of the tariff since the claims of consultations was not enough to make the new tariff regime effective.

The Senators particularly berated NERC which it accused of having displayed lack of transparency and openness in its regulatory and supervisory role.

The Committee said; “NERC has never tell or show Nigerians the real amount that is the highest and lowest estimated billing for Nigerians to pay as approved by the Commission. It is only NERC and DiScos that know the figure.

“Again, NERC hide from Nigerians, the process of buying meters and the agreement form on ‘MAP’ that should have given the buyer or customers ‘the right to know’ on how to get or retrieve his or her money back.

“NERC also did not show Nigerians the amount to be paid back from the meter purchase but technically combined installation fees (connection charges) and meter price together to convince buyers and to the advantage of DiScos.

“The Commission did not also allow Nigerians to know for themselves the real amount to be paid as either capital contribution or connection charge as claimed to be approved by NERC as contained in section 1.1.2 Appendix (iv) or Roman figure (iv) of connection and disconnect procedures for electricity services of Nigerian Electricity Regulatory Commission,” the Senate stressed.


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