Reactions as Aba Disco Hikes Electricity Tariff by 100%, Upgrades Customers to Higher Bands
- Barely a week into 2025, Aba Power Limited Electric has hiked the electricity tariff by 100 per cent, effective January 1
- The announcement from the company says that Band A customers will now pay N241.45/kWh, more than 100% up from the former N114.66/kWh
- Reactions have trailed this move, as it also included upgrading some customers to higher feeder bands
Legit.ng journalist Ruth Okwumbu-Imafidon has over a decade of experience and a deep understanding of Nigeria's corporate sector and emerging trends in the fintech space.
An electricity distribution company in Abia state, Aba Power Limited Electric, has recently hiked electricity tariffs by over 100%, following approval from the Nigerian Electricity Regulatory Commission (NERC).
According to the statement on its official X (formerly Twitter) page @AbaPowerOnline, the new tariff has taken effect on January 1, 2025.
Source: UGC
Recall that Legit.ng had reported that Aba Power Limited Electric (APLE) had approached the Nigerian Electricity Regulatory Commission (NERC) to demand approval to raise the electricity tariff to N240 per kilowatt-hour.
Aba DisCo said that NERC has approved an electricity tariff adjustment, effective January 1, 2025, to help mitigate the impact of recent macroeconomic challenges on service quality.
The statement read;
“…We have recently received an approval order from the Nigerian Electricity Regulatory Commission for an adjustment of electricity tariffs, effective January 1, 2025. This adjustment will enable us to cushion the effects of recent macroeconomic developments in Nigeria on our ability to continue to deliver a high quality of service to our customers in compliance with regulatory standards.”
The company added that this increase was preceded by public consultations at the customers' forum in late 2024.
Aba Power Electric had earlier increased its tariff in May 2024 but still remained the cheapest in the country, with a charge of N114.66/kWh for Band A Maximum Demand customers.
The company had applied to NERC for a tariff hike on December 11, 2024, and its application was reviewed and approved in less than a month.
What customers will pay
The announcement shows a more than 100% hike for Band A customers, who will now pay between N219.70 to N241.45/kWh instead of the N114.66/kWh they used to pay.
Band B customers will be charged between N210.46 and N234.07/kWh, while Band C customers will pay between N180.77 to N205.69/kWh.
Band D and Band E customers will pay the same rates, between N145.87 and N160.96/kWh.
The updated feeder list on the post also shows that several customers have been upgraded to higher bands. About 7 Band B feeders were migrated to band A, while 14 band D and E feeders were upgraded to Band C.
This implies that these customers will now have to pay the new charges for their new band feeders.
Customers react to increased tariff
There were immediate reactions to this increase as customers complained that there was no prior information. They also said the announcement was coming days after the increase had taken effect, and customers were already complaining about the price.
One customer, Ányànwụ̀ Chị́dìébérè (@anyanwu_chidi_e) said in her post;
“Your media team is doing a very bad job. There has never been a time they give proper information before a major disruption in power or breakdown. You had to wait for people to cry out first before you do the needful after about two days of implementation. Did you inform people before the approval? You guys need to do better with information decimation.”
Another customer Kelvin (@Kelvin_chuks_) complained that the tariff plan was implemented days before the announcement, describing it as really unfair.
Another customer, idiebere (@chidieberechr36), questioned their consultation claims, insisting that the 100% increment was unjustified.
There were also comments about the financial strain this adds for customers at a time when the electricity supply remains unsteady nationwide.
NERC approves increase
Recall that Legit.ng reported that NERC approved a 200% electricity tariff increase for Band A customers in April 2024.
This increased the cost from N66/kWh to N225/kWh for customers on the Band A feeder, who are said to receive at least 20 hours of electricity supply daily.
This increase was made against the backdrop of the foreign exchange rate, which had then risen 50% to N1,463/$.
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Source: Legit.ng
