Electricity Pricing: NERC denies removing fixed charges

SAM AMADI OF NERC

The Nigeria Electricity Regulatory Commission (NERC) says the N750 fixed charge levied on electricity consumers’ meters across the country has not been abolished.

NERC Chairman, Dr. Sam Amadi who denied the speculation concerning the controversial ‘fixed charge’ while speaking with journalists during a two-day workshop in Abuja said such price mechanism cannot be removed with executive fiat. “Fixed charge has not been removed. A regulator does not remove something by executive fiat. It has to go through a process,” Amadi explained.

The NERC boss further disclosed that the Nigerian Electricity Supply Industry (NESI) is working out a template for generating over 6,000megawatts (Mw) of electricity by the end of the year.

Amadi, further explained that the two-day workshop organized by NERC to present a template for effective project management to the electricity industry performance management officers would enable them to learn how to deliver on projects in good time. “This meeting is for us to meet with our stakeholders to show them the template we have designed with consultants to enable them deliver on time and effectively. We want to increase our capacity. There is a possibility of ending this year with over 6000Mw or close to that,” he said.

He identified corruption, poor budgeting as key problems bedevilling the electricity sector. According to him, “prior to 2010, the sector suffered the problem of modelling, but from 2010 to date, it has faced management problems.”

“Inefficient budget cycle have made it difficult for effective delivery of projects within a target time frame in the sector”, he adds.

By Olisemeka Obeche

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