DISCOs Begin Implementation Of New Electricity Tariff July 1

In view of radical changes in the macro-economic indicators such as inflation and foreign exchange in addition to the impact of coronavirus, the Distribution Companies of Nigeria, DISCOS  have announced plans to implement the new electricity tariff from July 1.

In a separate statements the DISCOS  covering different zones across the country explained tehat Nigerian power sector had no doubt arrived at a critical juncture as it heads for the point where it could serve as a catalyst for industrial and economic growth of the  nation.

Adding that the electricity value chain – Gas Companies, Generation Company, Transmission Company of Nigeria, TCN, and Distribution Companies could only improve where investment and recovery were at par.

For the Abuja Electricity Distribution Company, AEDC, Managing Director, Mr Ernest Mupwaya explained that the new tariff was a total departure from the structure used in the past.

According to him, the tariff is predicated on the level of service available to customers in different clusters, especially in terms of hours of availability of electricity supply to specific geography within its franchise area.

He said, “We have structured the new tariff regime in such a way that there can be fairness and equity both to the service provider and customer.

Embedded in the new tariff regime is an incentive for the service provider to speedily ramp up performance to 24 hours in all clusters.

By so doing it can draw from the benefit of economics of scale associated with numbers, volume and other parameters within its geography”, he said. 

For Ikeja Electrocity Disco, Head of Corporate Communications, Mr Felix Ofulue in a statement said new tariffs, which are service reflective, are end-user rates to be paid for electricity based on the level of service including availability and reliability provided to a cluster of customers.

He said, “All customers have now been clustered into different bands depending on the level of service currently being enjoyed.

” Customers who are in the higher band currently being provided with good electricity supply will be expected to pay the true costs of the services being enjoyed.

“Customers who are within the lower band and are not receiving optimal services will be expected to pay a much lower tariff pending improvements in services and the movement to a higher tariff band reflecting improved service delivery, ” he said.

The Ibadan Electricity Distribution Company as well as the Kaduna Electricity Distribution Company all assure customers that it will ensure that customers enjoy a better  transmission and distribution of power.

They alongside their counterparts released duly signed statements announcing their intentions to begin the implementation of the new tariff plan.