Again, FG Hikes Electricity Tariff




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(Sundiata Post) – Electricity Regulatory Commission, NERC, has approved 50 per cent hike in electricity tariff payable by customers of 11 Distribution , DisCos.

This is coming just months after it finally implemented a much opposed hike in November 2020.

According a revised Multi Year Tariff Order (MYTO) signed by new Chairman of NERC, Engr. Sanusi Garba, on December 30, 2020, and sighted Tuesday, new tariff increase took effect on January 1, 2021, and supersedes previous Order NERC/2028/2020.

In the new Order NERC/225/2020, the commission said it considered the 14.9% rate rise in November 2020, of N379.4/$1 as of December 29, 2020, available generation capacity, rate of 1.22% and the Capital Expenditure (CAPEX) of the power firms raise the tariff.

The revised Service Based Tariff (SBT) also saw increase in the rates payable by all classes of electricity users unlike the of November 2020, exempted low power getters.

This is effective till June 2021 while a Cost Reflective Tariff (CRT) expected raise the new cost higher be activated from June December 2021, the NERC Order revealed.

Source