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Court Restrains DisCos And NERC From Increasing Electricity Tariff

A High Court in Lagos has issued an interim order restraining 10 electricity distribution companies (DisCos) and the Nigerian Electricity Regulatory Commission (NERC) from increasing tariffs.

Gatekeepers News reports that the presiding judge, Lewis Allagoa granted the ex parte order on Monday.

The Manufacturers Association of Nigeria (MAN) was the applicant in the suit marked FHC/L/CS/881/2024.

The DisCos, which are the first respondents include the Abuja Electricity Distribution Company (AEDC), the Ibadan Electricity Distribution Company (IBEDC), the Eko Electricity Distribution Company (EKEDC), the Ikeja Electricity Distribution Company (IKEDC), the Kaduna Electricity Distribution Company (KAEDC).

Others are Kano Electricity Distribution Company (KAEDC), Jos Electricity Distribution Company (JEDC), Benin Electricity Distribution Company (BEDC), Enugu Electricity Distribution Company (EEDC), Port Harcourt Electricity Distribution Company (PHEDC), and Yola Electricity Distribution Company (YEDC).

The second respondent in the suit is NERC.

The applicant prayed to the court that the DisCos and the electricity regulatory body should not increase the electricity tariff.

The court then ordered that the respondents be restrained from taking any further steps, including the disconnection of power supply, pending the determination of the motion in this matter.

The court said, “That the order is without prejudice to the obligation of the plaintiff from paying their electricity bill at the old rate.”

The matter was, therefore, adjourned to June 24 for a hearing.

NERC approved an increase in electricity tariff for customers under the Band A classification on April 3.

According to the commission, customers under the category, who receive twenty hours of electricity supply daily, would begin to pay N225 per kilowatt (kW), starting from April 3.

The price hike came after the minister of power, Adebayo Adelabu had said the federal government could not afford to pay subsidies on power anymore.

Stakeholders as well as organised labour unions have however demanded that the price be reversed, saying it is unsustainable.

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