Electricity customers have voiced their frustration following the recent announcements by Distribution Companies (DisCos) regarding an increase in tariffs for Band A customers.
Public notices obtained from several utility firms on Wednesday revealed that the tariff has been increased from ₦206.80 to ₦209.50 per kWh, effective July 1, 2024.
The Eko Electricity Distribution Company (EKEDC) announced the new tariff on its official X handle, @EKEDP. The company reassured customers of its commitment to maintaining a minimum power supply of 20 hours per day under the Service-Based Tariff.
“Dear Valued Customer, Kindly be informed that there has been an upward review in the Band A tariff rate from ₦206.80 to ₦209.50 per kWh. This review is effective July 1, 2024. Rest assured of our commitment to maintaining the guaranteed 20-hours minimum power supply in line with the Service-Based Tariff,” EKEDC stated.
Following EKEDC’s update, Ikeja Electric issued a similar notice to its customers, noting that the increase aligns with a service-based tariff regime, while tariffs for Bands B, C, D, and E remain unchanged.
The Ibadan Electricity Distribution Company Plc (IBEDC) also announced the upward tariff review, stating that it was duly approved by the Nigerian Electricity Regulation Company (NERC) as part of the multi-year tariff supplementary order. IBEDC management cited key economic factors, including fluctuations in the exchange rate, inflation, generation capacity, and gas costs, as reasons for the adjustment.
In a notice signed by Acting Managing Director Francis Agoha, IBEDC acknowledged customer concerns about tariff changes and emphasized the necessity of the adjustment to maintain and enhance service quality. “We understand that any change in tariffs can be a concern for our customers, and we assure you that this adjustment is necessary to maintain and improve the quality of our services. Our goal is to ensure that you receive the best possible value for your money,” Agoha concluded.
Notably, the Abuja Electricity Distribution Company (AEDC) did not announce a tariff increment. However, it was recently fined ₦200 million by NERC for violating the New Tariff Order. NERC’s detailed review and customer feedback revealed that AEDC had improperly applied the new tariff across all customer bands, contrary to the Order’s fair billing practices.
NERC instructed AEDC to reimburse customers in Bands B, C, D, and E who were overbilled. “This decision follows a detailed review and customer feedback, which revealed that AEDC had applied the new tariff to all customer bands, contrary to the Order, which was designed to ensure fair billing practices,” NERC stated.
The latest tariff increase has sparked significant backlash online, with customers criticizing the DisCos’ service quality and management.
One customer, @iamscrummy, expressed disbelief, “No light you are designing rubb!!!sh”.
@ChAAley10 shared frustrations about poor service in Igando, Lagos, stating, “Your service to one day av, along Isuti in Igando Lagos, has been poor for more than 8 weeks, and till this very hour there’s no action taken to restore power supply to this area mentioned. This is getting out of hand and residents have spent a lot on fueling generators.”
A customer from Festac Town, Lagos, questioned the tariff band classification, saying, “What is happening at Festac 01 33kv Ojo barracks and its environs? Light has been out for 84 hours straight. Are you sure we are on Band A? Light out for 4 straight days and nothing heard from you guys. These guys are out to bury this country,” @dlomann tweeted, tagging @NERCNG.
Other customers expressed similar sentiments. @IamOAR criticized the lack of infrastructure updates and power generation increases, “If this is not madness pls tell me what I can call it. 1-u guys haven’t updated ur infrastructure in years, they are obsolete. 2-u haven’t increased power generation 3-u can’t justify 4hr difference btw Band A & B 4-u have increased it d 2nd time, & no light for 24 hrs.”
@Dt_bello1 accused the DisCos of dishonesty, “Even when they announced ₦206.6 per kWh tariff, it was a big lie, the cost was ₦222.2 per kWh. The electricity distribution companies are liars, lying to the public.”
@Nkechinyer54391 hoped for a better government to overhaul the DisCos, “This is where we would see your hard work. The only time you people function well is when you’re increasing tariffs. Give us good service, you won’t. I hope we’ll get a better government that would scrap you all. Just send all of you to Sambisa forest!”
@GFCLASSIS echoed frustrations over the tariff increment, “The only thing you people know how to do is increase tariff. You don’t care that companies can’t afford to pay and they’re leaving the country. Even the Band A you’re not giving steady electricity. You people should continue with your increment.”
@mz_fejiroo urged the DisCos to improve customer service before increasing tariffs, “You are increasing fee, but refuse to attend to issues people having Band A are facing. Fix your customer system. It’s terrible!!!!!”
The recent tariff increase has undoubtedly stirred widespread dissatisfaction among electricity consumers, highlighting ongoing challenges in service delivery and customer relations within the sector.