Simon Utebor, Yenagoa
The Port Harcourt Electricity Distribution Company (PHEDC) says it has started the implementation of the new electricity tariffs based on the order of the Nigerian Electricity Regulatory Commission (NERC).
The PHEDC said in a statement on Thursday by its Manager, Corporate Communications, Mr. John Onyi, that the extraordinary tariff review and issuance of the Multi-Year Tariff Order (MYTO) 2020 for PHED took effect from September 1, 2020.
PHEDC covers Akwa Ibom, Bayelsa, Cross River, and Rivers states.
Onyi said as per the order, customers’ tariffs had been categorised into five bands with differentiated tariffs for their current hours of availability of supply.
He said: “Each of these bands has three classes of customers namely Non-Maximum Demand (Non-MD), MD 1 and MD 2 which represents customers previously known as residential, schools and churches and industrial customers respectively.
“For instance, residential customers on Band A category who are currently on a minimum of 20-hour supply per day are expected to pay N55.20.
“MD customers such as schools, churches, supermarkets and street lights will pay N54.80. Also, industrial customers such as manufacturing companies will pay N52.20 in the same category.
“The Band B category, which is for customers at present on a minimum availability of 16 hours power supply, is accordingly expected to pay an increased tariff as well as Band C category representing customers on minimum availability of 12 hours of supply per day.
READ ALSO: NLC, MAN kick as DisCos increase electricity tariffs
“Furthermore, customers on Bands D and E categories are those experiencing eight and four hours supply per day respectively will remain on the old tariff structure pending further directive from the regulatory body.
“In pursuant of the authority given under Section 76 of the EPSR Act 2005, NERC established a methodology for determining electricity tariff in the Nigerian Electricity Supply Industry (NESI) and subsequently issued a tariff order called MYTO that sets out tariff for the generation, transmission and distribution of electricity in Nigeria.”
He said the MYTO introduced in 2008, provides for the biannual review of tariff which is carried out, taking into cognisance, changes in exogenous variables outside the control of the NESI such as Nigerian and United States inflation rates.
He said the purpose of the MYTO was to set a cost-reflective tariff that would allow the power sector to be properly funded and functional.
“The company, therefore, appeals to its esteemed customers to cooperate and support this new tariff through prompt payment of electricity bill for the mutual benefits of all stakeholders in the electricity industry,” Onyi said.
Leave a Reply