The Nigerian Electricity Regulatory Commission (NERC) has initiated a process to gather public opinions on the proposed electricity tariff increases, aiming to foster transparency and engage customers. NERC has called on the general public to submit their comments, which will be considered in determining the modalities for the proposed tariff rate adjustments.
In a public notice titled “Notice of Application for Rate Review by the Electricity Distribution Companies,” NERC stated that it has received applications from all the distribution companies (Discos) for rate hikes. The Discos have provided justifications for the proposed increases, citing changes in macroeconomic parameters and other factors that impact service quality, operations, and sustainability.
This development follows mounting pressure on NERC from the Discos, who have been seeking approval for rate adjustments. During a meeting held last month, the Discos collectively expressed concerns about the effects of recent policy changes, such as the removal of fuel subsidy and the unification of the exchange rate, which have increased the cost of purchasing U.S. dollars and impacted their ability to procure necessary equipment and materials.
NERC has set a deadline for customers to submit their comments on or before July 20, 2023, via the email address “tariff@nerc.gov.ng.” The commission has also urged customers and stakeholders to review the excerpts of the rate review applications filed by the licensees, which are accessible on NERC’s website at www.nerc.gov.ng.
One concerned customer, Rose Ogbusua, expressed her opposition to the proposed rate hike from the Discos, urging others to voice their rejection on the commission’s website. She voiced her concerns about the financial burden this increase would impose, stating that it would be challenging to survive with such high rates.
jasminer