By Chioma Obinagwam
The Nigerian Electricity Regulatory Commission(NERC) has ordered the 11 Electricity Distribution Companies (DisCos) in the country to suspend the Sept. 1 tariff increase for two weeks.
Confiance News learnt from the Commission’s Order, No. NERC/209/2020, signed by the its Chairman, James Momoh and the NERC’s Commissioner, Legal, Licensing and Compliance, Dafe Akpeneye.
NERC’s suspension followed a joint communique issued by the Federal Government and the labour unions.
‘The Commission, pursuant to sections 32 and 76 of the Electric Power Sector Reform Act (“EPSRA”), issued the Multi-Year Tariff Order 2020 for the 11 successor electricity distribution companies (“DisCos”) with effect from 1 September 2020. One of the primary objectives of the MYTO 2020 Order is ensuring that rates charged by DisCos are fair to customers and are sufficient to allow DisCos that operate efficiently to recover the full cost of their activities, including a reasonable return on the capital invested in the business.
‘Following a joint communique issued by the Federal Government of Nigeria (“FGN”) and the labour unions, the FGN agreed that the recent review in electricity tariffs would be suspended by the Commission for a period of 14 days to further consultations and finalisation of negotiations between the parties,’ the order read in part.
