Why We Approved Reduction In Electricity Tariff Of Band A Customers

The Nigerian Electricity Regulatory Commission (NERC) has confirmed that it gave approval to the Electricity Distribution Companies (Discos) to implement a reduction in the tariff of customers on Band A.

NERC gave the confirmation in a statement on Monday released via its website.

The Commission added that it granted approval for the reduction in electricity tariff for the affected customers due to the appreciation of the Naira in the foreign exchange market.

As earlier reported by Naija News, the eleven Discos in the country, cut the tariff for Band A customers from 225/kWh to 206.8/kWh, which represents approximately 8.1% reduction.

The NERC statement on the development reads: “Pursuant to the tariff methodology adopted by the Nigerian Electricity Regulatory Commission, a revised tariff order covering the month of May 2024 has been issued by the Commission to the eleven (11) electricity distribution companies.

“The Commission has considered changes in the macroeconomic parameters over the preceding month of April 2024 and especially the appreciation of exchange rates – consequently the Commission has approved a downward review of end-user tariffs for Band “A” customers from NGN225/kWh to NGN206.8/kWh.

“The Commission reaffirms its commitment to providing a balanced and effective regulatory regime serving the needs of the Nigerian Electricity Supply Industry.”