NERC approves new tariff review applications, Capex for DISCOs
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By Chris Ochayi – Abuja
The Nigeria Electricity Regulatory Commission, NERC, has approved new Extraordinary Tariff Review applications, Performance Improvement Plan, PIP, and Capital Expenditure, CAPEX, for electricity Distribution Companies, DIcOs effective from July 1st, 2021 till 30th June 2026.
This was contrary to the earlier position of the Minister of Power, Engr. Sale Mamman, who at the weekend allayed consumers’ fear there will be no significant tariff increase.
However the NERC orders issued Sunday to the different DISCOs, were about applications for extraordinary tariff review, Performance Improvement Plans, and capital expenditure for the next five years, beginning from 1st July this year.
Emmanuel Addeh in Abuja
The intervention by the Central Bank of Nigeria (CBN) in the metering challenges in the power sector, has started to yield the needed results, it was learnt yesterday.
Last week, the Special Adviser to the President on Infrastructure, Mr. Ahmad Zakari, confirmed that the federal government was revving up its disbursement of a N120 billion capital expenditure (CAPEX) to improve infrastructure, especially to support the metering programme by the Distribution Companies (Discos).
It was gathered that a number of approvals had been made by the apex bank beginning from the last quarter of last year, with disbursements standing at N14.35 billion as at December 24, meant for the procurement of an additional 263,000 metering devices.
Only a little over a week ago, the Special Adviser to the President on Infrastructure, Mr Ahmad Rufai Zakari faulted the report of the World Bank on the state of the Nigerian Power Sector. Mr Zakari, speaking on behalf of the Federal Government (FG) had referred to the Power Sector Recovery Programme Opinion Research Fact Sheet released by the World Bank as inaccurate.
According to the report,
“78% of Nigerians have less than 12 hours daily access of power supply and up to 58% of electricity consumers are unmetered.” The vehement defence by the FG did not also do much to provide reliable data to debunk the World Bank’s numbers. This gaffe, added to the recent power supply statistics in the country make it difficult for the FG’s rejoinder to be believed.
By Ediri Ejor
At the backdrop of rumors of possible hike in electricity tariff, the Minister of Power, Engr. Sale Mamman, has indicated that the ministry is focusing on increased efficiency and not tariff.
In a statement made available to Financial Vanguard last weekend, Mamman said, ‘‘instead of significant hike in electricity tariff, Nigerians should expect an increase efficiency in the sector to reduce tariffs while managing headwinds from foreign exchange and inflation.’’
Mamman explained that the order issued by the Nigerian Electricity Regulatory Commission, NERC, on the 26th of April 2021 titled “Notice of Minor and Extraordinary Review of Tariffs for Electricity Transmission and Distribution Companies” was a routine procedure.
(AFRICAN EXAMINER) – At the backdrop of rumors of possible hike in electricity tariff, the Minister of Power, Engr. Sale Mamman, has indicated that the ministry is focusing on increased efficiency and not tariff.
In a statement made available , Mamman said, ‘‘instead of significant hike in electricity tariff, Nigerians should expect an increase efficiency in the sector to reduce tariffs while managing headwinds from foreign exchange and inflation.’’
Mamman explained that the order issued by the Nigerian Electricity Regulatory Commission, NERC, on the 26th of April 2021 titled “Notice of Minor and Extraordinary Review of Tariffs for Electricity Transmission and Distribution Companies” was a routine procedure.