DisCos Gear Up for Electricity Tariff Hike on January 1, 2024

There are strong indications that the electricity distribution companies (DisCos) in Nigeria are poised to increase their tariffs, effective January 1, 2024. An official source from one of the DisCos, speaking on the condition of anonymity, confirmed the impending tariff hike after a virtual emergency meeting.

According to the source, “All has been perfected for the new tariff to take effect from the first of January, 2024. It is now left for various electricity distribution companies to enlighten their customers on new developments.”

The National Electricity Regulatory Commission (NERC) has already summoned distribution companies for a meeting regarding the tariff adjustment. The source expressed concerns about customer dissatisfaction, given the short notice and the mandatory six-month evaluation period for tariff adjustments.

“In fact, we were perturbed by the short notice and how we would reach out to our customers about the increase,” the source stated.

When questioned about the extent of the tariff increase, the source admitted, “No idea so far, but the uncertainty has put us in a difficult situation.”

Another source from the Transmission Company of Nigeria (TCN) mentioned that only the NERC would have information on the magnitude of the impending tariff hike. As the deadline approaches, stakeholders and customers await further details on the potential impact of this decision on electricity bills.