By John Ikani
The Nigerian Electricity Regulatory Commission (NERC) has directed the 11 Electricity Distribution Companies (DisCos) to increase their tariff effect from 1st September 2021.
In a letter titled; “Tariff Increase Notification”, the NERC gave the electricity distrubutors in the country the leverage to charge a service-based tariff.
A document from the Eko Electricity Distribution Company, with reference number 023/EKEDP/GMCLR/0025/2021 shows that the tariff would increase between N42.44 to 58.94 depending on their class, TheNation reports.
The energy distributor informed its customers that “the increase will be reflected on the energy bill for October 2021, which will represent energy consumption for September 2021.
In informing its metered customers on the development, the company said “for metered customers with internal vending arrangements, we urge you to adjust the rates accordingly to reflect the new tariff increase as released by NERC.”
In September 2020, NERC designed the Service Based Tariff (SBT) programme which will take effect in September 2021.
The SBT was implemented to stop electricity subsidy by the government and allow the Nigerian Electricity Supply Industry (NESI) generate more funds to finance the power sector.