The commission also cleared the air concerning claims that it increased tariffs due to increase in inflation rate in the country.
Clarifying the issues surrounding the electricity tariff in Abuja y, NERC explained that the new tariff presently being charged was the same tariff introduced in 2012.
According to the commission’s Head of Media, Maryam Abubakar, “it is the tariffs as published in the 2012 Multi-Year Tariff Order, MYTO, that have come into effect on June 1, 2013. The report wrongly stated that NERC increased tariffs due to increase in the rate of inflation. The reverse is actually the case.
“The inflation rate in the MYTO has not changed because inflation in Nigeria has remained single digit. NERC could not have increased tariffs due to rate of inflation which has remained stable.”
The MYTO published by NERC in 2012, she further explained, is a tariff plan that sets both wholesale and retail tariffs for the industry over a five-year period.
“This means that tariffs have already been set for every year starting 2012 through to 2016. Effective June 1 of every year, a new tariff is to take effect. This will continue till the five-year period of the MYTO has lapsed, after which there will be a major review.”