Again, NERC Approves 50% Increase In Electricity Tariff

Despite the deluge of lamentation and grunts of pains that characterised the last hike, the federal government appears to be indifferent to the plight of the citizens as Nigeria Electricity Regulation Commission (NERC) on Tuesday announced another 50% increase in electricity tariff.

According to a revised Multi-Year Tariff Order (MYTO) from the commission, the new tariff regime will take effect from 1st of January 2020.

Ekohotblog reports that in the MYTO dated 30th of December, 2020 and  signed by the new Chairman of NERC, Engr. Sanusi Garba, the 11 electricity Distribution Companies must enforce the new pricing scheme and enforce and compel electricity consumers to comply with it.

The commission said the hike was necessitated by a plethora of factors such as the 14.9% inflation rate rise in November 2020, foreign exchange of N379.4/$1 as of December 29, 2020, available generation capacity, US inflation rate of 1.22% and the Capital Expenditure (CAPEX) of the power firms.

Read Also: DisCos Commence Implementation Of New Electricity Tariff

Recall that the last tariff hike by the government was greeted with outrage and stiff opposition with Labour Congress and Trade Union Congress threatening a nation wide strike.

The tension was consequently doused as the unions and government reached a resolution after some some concessions are made by both parties.

The Committee headed by the Minister of State for Labour and Employment, Festus Keyamo promised among other things distribution of prepaid meters and others.