Newsfront Online …Telling the Public as it is
By Saviour Ekpe
The Port Harcourt Electricity Distribution Plc. (PHED) has commenced the new five brands of tariff for the four states under its operation with effect from September 1, 2020.
In a release issued by the Manager, Corporate Communications, PHED, John Onyi and made available to Century Newsfront, PHED states viz: “The Port Harcourt Electricity Distribution Plc.(PHED) wishes to notify its esteemed customers and members of the public in Akwa Ibom, Bayelsa, Cross River and Rivers States that it has started the implementation of the new electricity tariff based on the Nigerian Electricity Regulatory Commission’s (NERC) Extraordinary Tariff Review and issuance of the MULTI-YEAR TARIFF ORDER(MYTO) 2020 for PHED, which took effect from 1st September 2020.
As per the Order, customers’ tariffs have been categorized into five(5) bands with differentiated tariff for their current hours of availability of supply. Each of these bands has three(3) classes of customers namely Non- Maximum Demand(Non-MD), MD 1and MD 2 which represent customers previously known as Residential(Single and three-phase), schools/churches, and Industrial customers respectively.
For instance, Residential Customers on Band A category who presently are on a minimum of 20 hours power supply per day are expected to pay N55.20, while MD customers such as schools, churches, supermarkets and street lights would pay N54.80 . Also, industrial customers like Manufacturing companies will pay N52.20 in the same category.
The Band B category, which is customers presently on a minimum availability of 16 hours power supply, are accordingly expected to pay an increased tariff as well as Band C category representing customers on minimum availability of 12 hours of supply per day.
Furthermore, customers on Bands D and E Categories are those experiencing 8 and 4 hours supply per day respectively and would remain on the old tariff structure pending further directive from the Regulatory body.
In pursuant to the authority given under Section 76 of the EPSR Act 2005, NERC established a methodology for determining electricity tariff in the Nigerian Electricity Supply Industry (NESI) and subsequently issued a Tariff Order called the Multi-Year Tariff Order (MYTO) that sets out tariff for the generation, transmission and distribution of electricity in Nigeria.
The MYTO introduced in 2008, provides for the Biannual Review of Tariff which is carried out taking into cognisance changes in exogenous variables outside the control of the NESI such as Nigerian and United States Inflation rates NGN/USD foreign exchange rates, gas prices and available generation capacity. The purpose of the MYTO is to set cost-reflective tariffs which will allow the power sector to be properly funded and functional.
The Company therefore, appeals to its esteemed customers to cooperate and support this new tariff through prompt payment of electricity bill for the mutual benefits of all stakeholders in the electricity industry. More details are found on the Company’s website and social media handles”.
