Checks on the Multi Year Tariff Order (MYTO) issued by the Nigerian Electricity Regulatory Commission (NERC) for November showed that the tariff for Band A customers is N209.50 per Kilowatt hour (KWh) while the cost reflective tariff is N231.79, a shortfall of N22.29.
While the MYTO was for the Port Harcourt Electricity Distribution Company (PHED), sources in NERC told our reporter that the order is applicable to DisCos as the parameters for setting their tariffs are the same.
Recall that NERC had in April effected a 300 per cent rise in electricity tariff for Band A customers from N68 KWh to N225KWh.
While making the announcement, the Vice Chairman of NERC, Musliu Oseni, said the increase will only affect 15 per cent of electricity customers while the increase was done to ensure stability in the power sector.
Similarly, the Minister of Power, Adebayo Adelabu, while defending the increased said continuous payment of subsidy for the category would jerk up the government’s subsidy payment to N2tr annually if nothing was done.
