DisCos increase Band A tariff on power, operational expenses
Electricity Distribution Companies (DisCos) justified their decision to raise Band A customer tariffs on Wednesday by citing elevated operating expenses.
DisCos have raised electricity rates twice this year, further taxing companies and sectors of the economy that depend significantly on energy.
Ibadan Electricity Distribution Company Plc’s acting managing director, Francis Agoha, announced in a statement obtained by BusinessDay on
Wednesday that the Nigerian Electricity Regulatory Commission had approved the tariff hike for users in the Band A category, which would take their rate from N206.80/kWh to N209.50/kWh.
“The tariff will be changed from N206.80/kWh to N209.50/kWh with immediate effect. According to the multi-year pricing supplementary order, the
Numerous important economic indicators, such as changes in the currency rate, the rate of inflation at the moment, the amount of
generation capacity that is available, and the price of gas, have made the modification necessary. These elements have had a major influence on operating costs;
however, the new pricing will relieve some of the financial strain while maintaining the provision of excellent power services.
It is significant to remember that only our Band A clients are impacted by this change. There has been no change to the rates for Bands B, C, D, and E.
We are still dedicated to offering all of our clients throughout the various bands dependable and effective electrical services.
“We acknowledge that our clients may be concerned about any changes to tariffs, but we can tell you that these adjustments are required to uphold and enhance the caliber of our services.
We want to make sure you get the most value for your money,” stated Agoha.
See also: Nigeria raises power prices for larger users as grievances mount
Customers were also notified of the rise by Kaduna Electric’s head of corporate communications, Abdulazeez Abdullahi.
Abdullahi released a statement saying, “Dear esteemed customers, the Management of Kaduna Electric informs the
public of an upward review in the tariff of Band A feeders from N206.80/kWh to N209.5/kWh.”
