The electricity distribution companies operating in Lagos have said they would commence the implementation of upward review of tariffs from July 1.
The Ikeja Electricity Distribution Company’s Head of Corporate Communications, Mr. Felix Ofulue, said in a statement that end-users would pay based on the level of service — including availability and reliability – provided to a cluster of customers.
“The different service levels to all categories of electricity consumers will also be accompanied by a change in tariff which has taken into cognizance changes in macroeconomic indices in the country,” Ofolue stated.
He said that the new tariff would help players in the Nigerian electricity supply sector to cover operations costs and improve service delivery.
“For the purpose pf customer classification, customers will now be categorized into maximum demand customers (MD) and non-maximum demand (Non-MD) customers, and will no longer be the usual residential, commercial and industrial customer classes.
“All customers have now been clustered into different bands depending on the level of service currently being enjoyed. Customers who are in the higher band currently being [provided with good electricity supply will be expected to pay the true costs of the services being enjoyed.
“Customers who are within the lower band and are not receiving optimal services will be expected to pay a much lower tariff pending improvements in services and the movement to a higher tariff band reflecting improved service delivery,” Ikeja Electric spokesperson said.
Similarly, the Eko Electricity Distribution Company (EKEDC), has said it would implement upward review of electricity tariffs from July 1.
In a statement, EKEDC said: “This tariff review becomes imperative considering the need to improve quality services to our esteemed customers. This new tariff will be strictly service reflective as customers are expected to pay tariff based on the electricity supply available to them.”
It further said the new tariff would help it achieve the required Performance Improvement Plan (PIP) for electricity distribution companies in Nigeria and achieve financial and fiscal sustainability.
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