Tariff hike: NERC’s silence won’t stop implementation July 1 – DISCOs

By umoren99 • 3 days ago • 2526 views • 943 comments

By Chris Ochayi

The Electricity Distribution Companies, DISCOs, said yesterday that they have resolved to continue with the implementation of the upward review of the electricity tariff slated to take off on July 1, 2020, despite unusual silence from the Nigerian Electricity Regulatory Commission, NERC, over the issue.

The DISCOs in a statement by their umbrella body, the Association of Nigerian Electricity Distributors, ANED, signed by its Executive Director of Research and Advocacy, Barr. Sunday Oduntan, in Abuja, however expressed surprise over the action of the sector’s regulatory agency

Oduntan said the companies decried the recent attempt by their regulatory body, the Nigerian Electricity Regulatory Commission, NERC, to distance itself from the July 1 commencement of a new service-based electricity tariff regime.

He said: “We are in a regulated sector. We cannot take a decision about a very critical aspect of the sector like tariff without a nod from the regulator, NERC.

“However, what has happened in recent days is that our regulator is warning us not to mention their name or the Federal Government in any of our communication about the tariff increase with our customers. This is certainly very unfair. “Many stakeholders have expressed their concern at the unusual silence of our regulator, NERC on the upcoming increase and it looks like a unilateral decision by the DISCOs.

“We’ll like to inform Nigerians that tariff review, upward or downwards, is the primary responsibility of NERC as our regulator. We are required to submit our proposals and they have the final say.

“Hence we were surprised to receive a letter from NERC to all the DISCOs warning them not to mention their name or that of the Federal government in any public communications on tariffs”.

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