Senate Urges NERC, DisCos To Halt Proposed Tariff Increase

The Nigerian Electricity Regulatory Commission (NERC) and the 11 Electricity Distribution Companies (DisCos) were urged by the Senate on Tuesday to drop their proposed pricing rise and “allow Nigerians to breathe.”

The Senate also advised DisCos to no longer charge Nigerian communities for electrical transformers before recovering their costs and requesting payment.

Additionally, it put an end to estimated billing by providing all power users across the nation with affordable prepaid meters as soon as possible.

The Red Chambers had just finished debating a motion with the following title: “Need to halt proposed increase in Electricity Tariff by 11 successor Electricity Distribution Companies (DisCos).”

The motion was moved by Senator Yunus Abiodun Akintunde (APC – Oyo Central) at plenary. After due debate on the motion, the Senate resolved to: “Call on the Federal Government of Nigeria to intervene and halt the proposed increase in electricity tariff by the Distribution Companies (Discos);

“Urge Nigerian Electricity Regulatory Commission (NERC) to decentralize proposed engagement with Stakeholders scheduled for Abuja to the Six Geopolitical Zones of the Federation for effective participation by all;

“Also urge NERC to thoroughly look into the rate review applications filed by the Discos, taking into consideration the interests of citizens, affordability, and the need for improved service delivery;

“Further urge NERC to explore alternative measures to address the financial challenges faced by the Discos, such as improving operational efficiency, reducing technical and commercial losses, and enhancing revenue collection mechanisms;

“Equally urge Discos to henceforth discontinue estimated billing and make available to all electricity consumers prepaid meters at affordable prices; and

“Mandate the Committee on Power (when constituted) to engage with the Federal Ministry of Power, NERC, and other stakeholders to find lasting solutions to the challenges facing the Nigerian electricity sector, including the need for comprehensive sector reforms.

“Call on DisCos to allow communities to recover the cost of purchasing transformers before asking them to pay bills.

“Call on DisCos and NERC to allow Nigerians to breathe.”

Senators Ekpenyong Asuquo, Jimikuta David, Ipalibo Harry Banigo, and Abba Moro in their contributions supported the motion.