The 11 power distribution firms in Nigeria have requested a review of their varied electricity tariff, according to a statement released by the federal government on Thursday. This was done in order to take into account changes in the macroeconomic parameters across the country.
The Nigeria Electricity Regulatory Commission published a notice that made this information public. Additionally, the Discos indicated that the operations, sustainability, and service quality of the companies were the main drivers behind the tariff review.
The NERC claimed in the notice, acquired by our correspondent in Abuja, that the power companies’ request for a rate review was in accordance with the guidelines set forth in the Electricity Act 2023.
Recall that several firms that distribute electricity indicated in June that there will be a rate increase that would go into effect on July 1st, 2023.
The Nigerian Electricity Regulatory Commission had not yet approved the raise, according to The Discos, who later apologized after harsh criticism. Power users were concerned about the development at the time, and many prepaid customers rushed to add extra electricity units to their meters out of concern for a potential increase in rates.
On July 1, 2023, it was noted that the Discos did not raise the tariff, indicating that they had not yet received the power sector regulator’s consent.
However, the NERC revealed on Thursday that the power companies had sought for a review of their respective tariffs, though it described it as an application for rate review.
According to Sections 116(1) and 2(a&b) of the Electrical Act 2023 and other current laws, the 11 successor electrical distribution businesses have submitted an application for rate review to the Nigerian Electricity Regulatory Commission, according to the regulator’s notice.
