Please share
The agency said the sector also raked in more revenue since the beginning of the tariff adjustment last November
According to the agency, power users in bands A and B were now paying as much as 78 per cent of their electricity bills to electricity distribution companies since the commencement of the SBT.
At the May 2021 virtual Power Dialogue in Abuja, the Deputy General Manager, Market Competition and Rates, NERC, Abba Terab, said:“As we speak, the current tariffs customers are paying is about 78 per cent of the cost reflective tariffs, which is a significant improvement and that is the aggregate revenue the Discos collect.
“Of course, not all customers are paying up to 78 per cent, but at least those on bands A and B are largely paying about that level or something very close to that level.”
He added, “However, others are not paying up to that. So as we migrate customers, each six months to higher service bands, this number will reduce and hopefully by the next review in July, a number of customers will be moved to higher bands.
“And they will be getting higher improved services. Based on that, the improvement and payments upstream will increase.”
He explained that the Service Based Tariff was arrived at after several consultations with power distributors and stakeholders.
He said the rates were put together after thorough analysis of the Performance Improvement Plans submitted by Discos.
He said: “Today we have the SBT, which we have been implementing since November last year, or actually started in September but there was a pause in October.However, it kicked back in November and we have been implementing it and we have seen significant progress in terms of energy through-put from the generation companies, which recorded several milestones since we started”.
Please share