Senate halts Discos’ planned electricity tariff hike
The Senate Tuesday urged the federal government to halt the proposed increase in electricity tariff by the 11 electricity distribution companies (Discos).
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It also called on the Nigerian Electricity Regulatory Commission to look into the rate review applications filed by the Discos, taking into consideration the interest of citizens, affordability and the need for improved service delivery.
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It equally urged the Discos to discontinue estimated billing and make available to all electricity consumers prepaid meters at affordable prices.
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The resolutions followed a motion by Senator Yunus Abiodun Akintunde (Oyo Central) who said the Discos had no justification for the hike with no commensurate improved service delivery.
The 11 successor electricity distribution companies have filed an application for rate review with NERC, citing the need to incorporate changes in macroeconomic parameters and other factors affecting their quality of service, operations and sustainability.
But Senator Akintunde said despite repeated previous increases in the multiyear tariff with assurances of improved service delivery by the Discos, no commensurate improvement had been made in their service deliveries to justify the previous increment.
He cautioned that the planned hike in electricity tariff would further exacerbate the financial burdens faced by households and businesses.
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