Power

FG is not Increasing Electricity Tariff- Ugbo

Mr. Chiedu Ugbo, Managing Director, NDPHC

-By Felix Douglas

Contrary to speculations making the rounds that Federal Government of Nigeria has increased electricity tariff, the Managing Director of Niger Delta Power Holding Company Limited (NDPHC), Mr. Joseph Chiedu Ugbo, said the government does not have such intention to put burden on electricity users across the country.

Ugbo spoke briefly to journalists at the current affairs programme of Ray Power FM, political platform that the inability of Distribution Companies (DisCos) to efficiently collect bills sent to consumers has led to tariff shortfall.

However, the Federal Government is intervening through bill assurance programme while working with Nigerian Electricity Regulatory Commission (NERC) to correct tariff imbalances.

The NDPHC helmsman stated: “I don’t think they are necessarily increasing tariff, I don’t know the details of that but what they are working on is to ensure that biennial reviews are done to make up for the market shortfall arising from the inability of the distribution companies to efficiently collect bills sent to consumers.”

Thus, Federal government came with payment assurance programme working with the regulatory agencies to correct tariff imbalance shortfall.

When the shortfall is addressed after the consumers have paid, the bulk traders will in turn remit to the Generation Companies (GenCos) through service based tariff.

 

 

 

 

 

 

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