Sam Amadi - NERC Reduces Electricity Tarrif By 50%

The chairman of The Nigerian Electricity Regulatory Commission (NERC) on Tuesday announced a reduction of electricity tariff by over 50% through the relief of customers from payment of collection loss, which was accountable for the high tariff increase effected on 1st January this year.

The chairman, Dr. Sam Amadi, who opened up in news at Abuja Tuesday recalled that the amount of bills not collected by the Electricity Distribution Companies were transferred to the consumers in form of tariff hike by the commission, which has now absorbed. The customers of such task, now insists that the Discos would have to convince NERC why consumers have to bear the burden.

Meanwhile, the chairman said that the “removal of collection losses from customer tariff has reduced tariff by more than 50 percent in some places, noting that the reduction does not affect the Central Bank of Nigeria (CBN) facility and its repayment.”

The commission, said Amadi, had received several complaints against the increase in tariff of different consumer classes.

He added industrial and commercial consumers under the auspices of the Manufacturers Association of Nigeria (MAN) petitioned the commission, asking for a review of the MYTO 2.1 and requested drastic reduction of their tariff.

According to the chairman, they claimed that such astronomical increase in tariff would kill their business and lead to massive job losses.