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NERC: DisCos must provide meters before increasing tariff

The Nigerian Electricity Regulatory Commission (NERC) said on Wednesday that power Distribution Companies (DisCos) will only raise tariff after they consult customers and provide prepaid…

The Nigerian Electricity Regulatory Commission (NERC) said on Wednesday that power Distribution Companies (DisCos) will only raise tariff after they consult customers and provide prepaid meters for them.

The Chairman of NERC, Prof. James Momoh, said in a statement that the new model is Service Based Tariff.

“Under these service-based principles, DisCos will only be able to review tariff rates for customers when they consult with customers, commit to increasing the number of hours of supply per day and quality of service.”

Although he said no immediate tariff hike, DisCos were free to begin a tariff review process.

Daily Trust learnt that three DisCos had submitted their amended Performance Improvement Plans (PIP) to NERC for approval as basis to raise their rates.

A planned hike of about 47 per cent average for July 2020 was halted by the National Assembly.

“In all cases, poor and vulnerable Nigerians will not experience any increase. In line with these expectations, DisCos are directed to engage with their customers on a Service Based Tariff structure,” Momoh said in the latest announcement.