Estimated Reading Time: <1
The Nigerian Electricity Regulatory Commission has said the electricity tariffs being paid by consumers will increase in April this year.
NERC disclosed this in its ‘December 2019 Minor Review of Multi-Year Tariff Order 2015 and Minimum Remittance Order for the Year 2020,’ which was dated December 31, 2019.
It said the order, effective from January 1, 2020, was issued to reflect the impact of changes in the minor review variables in the determination of cost-reflective tariffs and relevant tariff and market shortfalls for 2019 and 2020.
The commission said the order also determined the minimum remittances payable by the Discos in meeting their market obligations based on the allowed tariffs.
It said, “The Federal Government’s updated Power Sector Recovery Program does not envisage an immediate increase in end-user tariffs until 1st April 2020 and a transition to full cost reflectivity by end of 2021.
“In the interim, the Federal Government has committed to funding the revenue gap arising from the difference between cost-reflective tariffs determined by the commission and the actual end-user tariffs payable by customers.”
According to NERC, all Discos are obligated to settle their market invoices in full as adjusted and netted off by applicable tariff shortfall.
It said, “All FGN intervention from the financing plan of the PSRP for funding tariff shortfall shall be applied through NBET and the market operator to ensure 100 per cent settlement of invoices issued by market participants,”
“Effectively, this order places a freeze on the tariffs of TCN and administrative charges until April 2020 at the rates applied in generating MO invoices for the period of January to October 2019.”
- Buhari’s refusal to address the country on May 29 is because he’s weighed down with failure – PDP
- $5.513bn loan: SERAP wants Buhari to reveal spending details of loans by his government since 2015
- PDP records landslide victory in Benue LGA elections
- Rape In RCCG; Uwa’s murder raises questions about the safety of Nigerian women
- “A lot of great things are going to come out of this lockdown” – Pastor Enoch Adeboye
- 12-year-old girl raped in Jigawa
- Just In: Nasarawa CAN chairman regains freedom
- An undergraduate, at the University of Benin, was raped in the Church #JusticeForUwa
- Breaking: 553 new Coronavirus cases reported in Nigeria, highest in a single day
- Kaduna: Group calls for FG’s intervention in Kajuru killings