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UPDATED:Finally NERC Suspends Proposed Electricity Tariff Increase Over Coronavirus

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The Nigerian Electricity Regulatory Commission has finally directed electricity distribution companies (DisCos) in the country to suspend the proposed tariff increase over the impacts of coronavirus pandemic.

Meridian Spy had earlier reported that the decision by NERC to increase tariff from April 1 had not yet been suspended despite the lock-down occasioned by the COVID-19 pandemic, as a top source at Ikeja Electric told The Punch that the firm had not received any directive from NERC as regards reversal of the plan.

However, in a memo on Tuesday, the commission acknowledged the adverse effects of the coronavirus on the global economy and Nigerians are also bearing the brunt. Therefore ‘there shall be no increase in tariffs of end-use customers on 1 April 2020.’

NERC stated in its memo: “The current global COVID-19 pandemic has significantly impacted on the availability of imported components for local assembly of meters for supply to end-use customers under the Meter Asset Provider (”MAP”) regulations and the roll out plan for the existing stock.

“The Commission acknowledges the adverse effects of the COVID-19 pandemic on global economy and the consequential impact on the average Nigerian.

“All future tariff reviews shall be on the basis of consultations between the DisCo and customer clusters with firm commitments on rates and quality of service. The service level compact shall include a compensation mechanism for end-use customers to address the DisCo’s failure events to deliver on performance targets.”

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