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Electricity Tariff: Court dismisses suit challenging hike

A Federal High Court in Kano has dismissed the order seeking to stop the implementation of the April 2024 Supplementary Order on Band A tariff…

A Federal High Court in Kano has dismissed the order seeking to stop the implementation of the April 2024 Supplementary Order on Band A tariff increase.

It would be recalled that the Kano chapter of the Manufacturers Association of Nigeria (MAN), Nigeria Association of Small-Scale Industrialists, Tofa Textiles Limited, Dala Foods Nig. Ltd., Mama Sannu Ind. Ltd., BBY Super Sack Ltd., and Super Sack Co. Ltd. had sought an injunction stopping the implementation of the new tariff order by the Kano Electricity Distribution Plc (KEDCO) and the Nigerian Electricity Commission (NERC) in May 2024.

In his judgment, the presiding judge, Hon. Justice Simon. A. Amobeda, ordered that the three questions endorsed on the plaintiffs’ originating summons challenging the credibility, validity, and legality of the April 2024 Supplementary Order are resolved in the negative and against the plaintiffs.

He further adjudged that contrary to the arguments of the plaintiffs, the April 2024 Supplementary Order was validly made pursuant to the Multi-year Tariff Order (MYTO) 2024, which was made after stringent compliance with the provision of Section 116 (6), (7), (8), (9), and 10 of the Electricity Act.

Justice Amobeda also ruled that the plaintiff failed to produce any cogent, credible and convincing evidence before the court that shows Band A customers were treated worse than other categories, therefore, it is only justifiable that Band A users pay more than other categories of customers, being the ones entitled to more electricity supply per day.

He therefore, dismissed the plaintiffs’ claim that the April 2024 Supplementary Order to the MYTO 2024 was discriminatory, unlawful and unconstitutional.

A statement by KEDCO’s head of Corporate Communication, Sani Bala Sani, yesterday urged the Manufacturers Association of Nigeria and other aggrieved customers to consider a peaceful and amicable way of settling their differences with the company.

The DisCo pleaded with all its customers to show some understanding as it operates under strict regulations and promised to remain customer-centric at all times.

It called for round-table reconciliation with the aggrieved parties after its triumph in court against them.

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