The Interview Editors
The Nigerian Electricity Regulatory Commission (NERC) has approved an increase in the tariffs charged by electricity distribution companies by 50 perecent.
The increase effective from January 1, 2021 would make the second time in three months the government is making consumers pay more.
NERC, in its new Multi Year Tariff Order (MYTO), increased electricity tariffs by over 50 per cent across the country.
Some consumers will now be paying as much as 150 percent more for electricity as they were six months ago.
READ ALSO: Electricity Tariff Hike: Lawan, Gbajabiamila Meet Buhari, Osinbajo, Say Timing Is Wrong
A revised MYTO and minimum remittance threshold payable by the Distribution Companies allows the 11 DisCos to increase tariff by 50 per cent.
The order signed by NERC Chairman, Sanusi Garba, on December 30, 2020 based the increase prevailing economic realities, especially inflation and exchange rate.
It cited 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 to raise the tariff.
The revised Service Based Tariff (SBT) increases the tariff rates for all classes of electricity users with no exemption.
