Court prevents NERC from implementing increased electricity tariff for Band A consumers

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Electricity

Court prevents NERC from implementing increased electricity tariff for Band A consumers

A Federal High Court sitting in Kano State has stopped the National Electricity Regulation Commission (NERC) and the Kano Electricity Distribution Company (KEDCO) from implementing the new increased electricity tariff for Band A consumers.

Recall that NERC recently mandated electricity distribution companies to charge Band A consumers increased tariffs in a move aimed at ensuring a stable power supply for those who can pay for it.

However, many Nigerians accused NERC of migrating most consumers to Band A even as they complained of epileptic supply.

But, on Thursday, presiding judge, Justice A.M Liman gave a halting interim order following an ex-parte motion moved by A B Mahmoud, SAN, for the counsel applicants, Super Sack Company Limited and BBY Sacks Limited.

Others are Mama Sannu Industries Limited, Dala Foods Nigeria Limited, Tofa Textile Limited and Manufacturers Association of Nigeria Limited (MAN).

In the ruling, the Federal Court restrained NERC, KEDCO from going ahead with the impending tariff increase schedule to take effect this month, pending the hearing and determination of the motion on notice filed before it.

The order also restrained the defendant from intimidating and threatening to disconnect the applicants’ electricity supply for non-acceptance of the new increased tariff.

READ ALSO: FG approves electricity tariff increase for Band A customers

Also, on Tuesday, The House of Representatives has called on the NERC to suspend forthwith the implementation of the new electricity tariff nationwide.

Coming under the motion of urgent public importance at the resumption of plenary, member representing Ivo/Ohaozara/Onicha Federal Constituency, Ebonyi State, Kama Nkemkanma, reminded his colleagues of the need to address key issues surrounding “The sudden hike in electricity prices in Nigeria.”

Following the adoption of the motion, the House ordered NERC to suspend the operation of the new tariff.

It also resolved to set up a special committee made up of the Committees on Power, Commerce, Delegated Legislation and National Planning to organise a well-structured hearing on the price regulation of NESI with the participation of the Minister of Power, Chairman and Commissioners of NERC, the CEO of all electricity utilities in Nigeria, President of the National Industrial Court, Trade Union Congress and leaders of Nigerian chambers.

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