- NERC denounces reports of a new tariff increase.
- Says Tariff Review for DisCos went into effect in February 2022.
- NERC is mandated to perform minor tariff reviews every six months.
The Chairman of the Nigerian Electricity Regulatory Commission (NERC), Mr Sanusi Garba, has stated that the news of a new tariff review that circulated in the media last week was approved on December 31, 2021, and went into effect in February earlier this year. “On behalf of the NERC management, I want to clarify that no rate review has been approved. There is no indication that any energy distribution firm is increasing its tariff. If you notice that the rate you buy electricity has changed within the last one to three weeks, we want evidence. The information posted on the NERC website was the last tariff rate review in December 2021.” Mr Garba stated. The chairman noted that the law mandates the Commission to perform minor reviews on the tariff every six months to account for changes in inflation, forex and other input that are factored in the Multi-year tariff order (MYTO).
The Commissioner, Market Competition and Rates, NERC, Mr Musiliu Oseni, noted that the Eligible Customers (EC) Regulations are still in place. The eligible customer regulation allows generation companies to sell power directly to customers whose monthly consumption is over 2MWh. Mr Oseni noted that while some customers have been approved under the EC regulations, some are still pending. He added that generation companies could not provide additional capacity due to contractual obligations with the Nigeria Bulk Electricity Trading Company. This, he notes, remains a challenge for customers.