Commission warns Discos over takeoff date of new tariff

The Nigerian Electricity Regulatory Commission (NERC) has warned the electricity distribution companies (Discos) against putting into effect the new tariff regime before the February 1 official takeoff date.

After months of discussions with the Discos, NERC last month increased the amount consumers pay for electricity consumed, and removed the controversial monthly charge.

Following fear that the Discos may put into effect the new tariff before the official takeoff date, NERC said yesterday that it would be illegal to do so before February 1.

The commission has also assured consumers that it would put an end to the menace of ‘crazy’ billing within the next one year. ‘Crazy’ billing is usually a situation where an electricity distribution company gives a customer an estimate that exceeds what the customer could possibly have consumed within the billing period.

In a statement in Abuja, yesterday, Head of Public Affairs at NERC, Dr. Usman Abba-Arabi, said that the commission was engaging the National Assembly in coming to a common ground on the new tariffs.

“The Nigerian Electricity Regulatory Commission (NERC) wishes to reiterate that the take off date of the new electricity tariff (MYTO 2015) still remains February 1, 2016 and it is in view of this that the commission has told distribution companies to abide by its directive not to connect new customers without first providing them meters. We wish to state that at no time did the commission change the date of the take off of the new tariff.”

Meanwhile, the Acting Head of the Commission, Dr. Anthony Akah, has stressed that the removal of fixed charge under the new tariff regime was in response to electricity consumers’ complaints and a measure to ensure electricity distribution companies improve on service delivery as their income is dependent on the quantity of electricity used by their customers.

He spoke of NERC’s resolve to continue to engage stakeholders, including members of the National Assembly, to address their concerns on the new tariff regime. “NERC holds National Assembly in high esteem and we are sure that both institutions are working to ensure that the national and consumer interests are protected.”

Akah explained that there are inbuilt consumer protection mechanisms and incentives for improved service delivery by the Discos and fair return on investment in the new tariff order.