The Nigerian Electricity Regulatory Commission (NERC) on Friday said the tariff payable by electricity consumers may increase by 61.5 percent any time soon.
According to NERC, the actual tariff for one kilowatt-hour of power is meant to be N51, as against the current unit cost of N31.58 for which electricity distribution companies are selling the commodity.
NERC’s Principal Manager, Tariff and Rates, Aisha Mahmud, disclosed this at a training programme in Abuja on Friday.
She explained that the actual tariff of N51/KWH was arrived at based on the economic fundamentals considered when carrying out minor tariff reviews.
Mahmud added that the commission had completed the process for the new tariff but had yet to receive an approval from the Federal Government to announce its implementation.
When asked why NERC had mandated the Discos to continue selling power at N31.58/KWH, Mahmud denied claims that the regulator forced the Discos to sell power at the reduced price.
According to her, NERC is observing the market cautiously and is looking out for considerable improvement in power supply to consumers.
She added that it had actually done a review and figured out that the feasible rate for electricity tariff should be N51/KWH.