Nigerian Electricity Regulatory Commission (NERC) has announced that starting from Monday, November 15, 2021, Nigerians will now have to pay an additional ₦13,766 and ₦26,829 to get single-phase and three-phase pre-paid meters respectively from the eleven Distribution Companies, DISCOs.
According to a circular issued Friday in Abuja by the Electricity Regulator which was obtained by Africa Today News, New York, the regulator raised the price of a single-phase meter from the current cost of ₦44,896.17 to a revised price of ₦58,661.69.
It also increased the price of a three-phase meter from the current cost of ₦82,855.19 to a revised rate of ₦109,684.36.
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NERC announced the increment via a circular dated November 11, 2021, and addressed to Managing Directors, all electricity Distribution Companies, DISCOs, and all meter asset providers.
The circular, with reference number NERC/REG/MAP/GEN/751/2, was entitled ‘Review of the unit price of end-use meters under the Meter Asset Provider and National Mass Metering Regulations’.
Africa Today News, New York recalls that the Federal Government, had earlier in the year commenced the distribution of six million free pre-paid electricity metres to Nigerians through the National Mass Metering Programme (NMMP), with the launch of the scheme in Eko, Kano, Kaduna and Ikeja Distribution Companies (DisCos) franchise areas.
This increment is coming at a time when inflation is biting hard on many Nigerians who struggle to put food on their table daily
It is however to note that, these costs are not with the 7.5 percent Value Added Tax (VAT) which the DisCos will include at the point of sale.
Africa Today News, New York reports that with the 7.5% VAT, a single meter will now have N4,400 as VAT to sell at ₦63,061.69 while a three-phase meter will have additional ₦8,227 for VAT to sell for ₦117,911.36.
The ₦18,166 and ₦35,227 – plus Valued Added Tax (VAT) increases in the prices of the meters are coming ahead of the Phase 1 of the federal government’s National Mass Metering Programme (NMMP) and the Meter Assets Provider (MAP), another existing metering scheme.
Justifying the increase, the power regulator said: ‘Pursuant to the provisions of the MAP and NMM Regulation, NERC noted the recent changes in macro-economic parameters and hereby approves an upward review of unit price of meters’
NERC in the letter signed by the Chairman, Engr. Sanusi Garba, said the Commission arrived at the approved unit price by considering the rise in the foreign exchange (forex) and inflation rate since the last review in June 2020.
AFRICA TODAY NEWS, NEW YORK