Nigerian’s will pay more for electricity as NERC scraps fixed rates

Nigerians have been given an early Christmas gift by the Nigerian Electricity Regulatory Commission has it has removed fixed charges for all classes of electricity consumers.

The commission announced this while releasing the new power tariff plan which entails increase in energy charges for consumers across the country outlined in various rates.

It also revealed that power users would only pay for what they consume.

Babatunde Fashola, the Minister of Power, Works and Housing had a few weeks ago stated that electricity rates would be inflated as he enjoined consumers to dutifully pay their bills so that considerable improvement would be seen in the power sector.

The NERC, on Monday, confirmed Fashola’s statement as it stated that from the next billing period, consumers would no longer be charged monthly fixed rates by power distribution companies.

The NERC outlined the rise in the charges for different consumers in specific locations.

“For instance, residential customer classification (R2) in Abuja Electricity Distribution Company will no longer pay N702 fixed charge every month. Their energy charge will increase by N9.60.

“Also, residential customers (R2 customers) in Eko and Ikeja electricity distribution areas will no longer pay N750 fixed charges. They will be getting N10 and N8 increase respectively in their energy charges. Similarly, the burden of N800 and N750 fixed charges would be lifted off the shoulders of Kaduna and Benin electricity consumers. These consumers will see an increase of N11.05 and N9.26 respectively in their energy charges.”

The announcement is in clear opposition of the House of Representatives’ directive to the NERC to halt any plan to increase power rates.

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