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DisCos can’t hike tariffs without approval, says NERC

The National Electricity Regulatory Commission (NERC) has clarified that electricity distribution companies (Discos) in Nigeria must obtain its approval before implementing any tariff increases. This statement was made by the spokesperson for NERC, Usman Abba Arabi, during a conversation with a correspondent from The PUNCH.InformationGuideNigeria

Recently, there have been media reports suggesting that Discos were planning to increase electricity tariffs at the start of the new year. However, Arabi emphasized that no new electricity tariffs have been approved by NERC for any of the distribution companies within the Nigerian electricity supply industry.

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He specifically advised Nigerians to disregard any news reports claiming that new electricity tariffs would be introduced on January 1, 2024, stating, “No new electricity tariff has been approved.”NYSC Portal

Despite this assurance from NERC, there remains a sense of skepticism among Nigerians, particularly on social media. Many express doubts, fearing that Discos might proceed with tariff hikes without waiting for official approval from the commission. This apprehension reflects ongoing concerns about the regulation and management of electricity tariffs in Nigeria, which directly impact the cost of living and the economic wellbeing of citizens.

Some Nigerians said they had noticed an increase in the amount they pay for electricity lately.JAMB Result

A Facebook user, Inusa Mani, said, “People buying electric units in Kaduna are already purchasing at new rates,” saying “It is either NERC is not on top of things, or they are paying lip service to Nigerians.”JAMB Portal

An Ibadan resident with the Facebook name Vito Jean claimed the Ibadan Electricity Distribution Company “has been giving my apartment N15k-N30k per month, a house with one TV, six bulbs, two phones and one laptop”.

Also, Segun Alex said, “There is always no directive (from NERC) before indiscriminately increasing tariffs.”

Asked to react to the fears of Nigerians that the Discos might have carried out the tariff increase without NERC approval, Arabi replied: “DisCos are not allowed to charge any electricity tariff without the approval of NERC.”