By Godson Ikiebey-
The Nigerian Electricity Regulatory Commission (NERC) has said that the recent review on electricity charge is an adjustment of 2015 tariff.
On Wednesday, August 21, 2019, NERC released series of publications tagged 2016-2018 minor review of the 2015 multi-year tariff order’ (MYTO) for each electricity distribution company (DisCo).
According to NERC, the review will become effective from January 1, 2020.
In a statement on Friday, August 22, 2019 the commission said the review is an adjustment of the tariff regime released in 2015 to account for changes in macroeconomic indices for three years after. NERC said:
“We wish to provide guidance that the minor review implemented by the Commission was a retrospective adjustment of the tariff regime released in 2015 to account for changes in macroeconomic indices for the years 2016, 2017 and 2018 thus providing certainty about revenue shortfall that may have arisen due to the differential between tariffs approved by the regulator and actual end-user tariffs.
“The principal objectives of the review are clearly articulated in section 6 (a-f) of the Order.
“The Commission therefore wish to notify the general public that no tariff increase has been approved by the Commission vide the Order.
“However, the Commission in the discharge of its statutory responsibilities enshrined under the EPSR Act, shall continue to undertake periodic reviews of electricity tariffs in accordance with prevailing tariff methodology. In all instances of such reviews and rulemaking, the Commission shall widely consult stakeholders and final decision shall take due regard of all contributions”.