Bi-Annual Tariff Review

The Nigerian Electricity Regulatory Commission will embark on a statutory Minor review of the Multi-Year Tariff Order (MYTO). The review is in line with the provision of the MYTO guidelines on Tariff reviews.

In a statement by the Commission “The MYTO provides a tariff path for the electricity industry, with biannual minor reviews to take into account the impact of changes in a limited number of parameters specifically inflation, US dollar exchange rate to naira, natural gas price and available generation capacity”.

The minor review will take into consideration the application of the Distribution Companies (Discos) to NERC on a review of the capital expenditure of the DisCos. The DisCos have bemoaned the restriction on capital expenditure of the DisCos as provided in the MYTO. They are seeking to increase capital expenditure to enable the improvement of expansion and maintenance of existing network infrastructure.

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