The Nigerian Electricity Regulatory Commission, NERC, is awaiting the approval of President Bola Tinubu before a new tariff regime is made public.
The review of the Multi-Year Tariff Order, MYTO, which happens twice a year, is expected to lead to a rate increase following the devaluation of the Naira with the flotation of the national currency.
Meanwhile, the Electricity Distribution Company, DisCos said the upward tariff review would encourage investment, leading to the supply of additional power to consumers.
Similarly, the Manufacturers Association of Nigeria, MAN also noted that the implementation of the nation’s Electricity Act would also be enhanced because of the new tariff.
However, the President, of Nigeria Consumer Protection Network, Mr Kunle Olubiyo, in a note to the Vanguard, noted that much value has not been given to consumers despite several past tariff reviews.
He said more investment should be channelled into the capacity expansion of critical power grid infrastructure and network improvements in order to upscale efficient service delivery, quality of supply and customer satisfaction in the post-privatized Nigerian power sector.
He also said the government should address matters relating to domestic gas obligation, appropriate gas pricing and gas to the domestic market should be sold in local currency (Naira) for use by gas to power generation power plants.
He further urged the Government to provide tax incentives, fiscal and non-fiscal incentives and access to long-term low-interest single digits credit facilities to indigenous meters assembling plants/local meters manufacturers in order to strengthen their production capacity.