• Wednesday, May 29, 2024
businessday logo

BusinessDay

FG to penalise DisCos supplying less than 20 hours of electricity to Band A customers

Businesses pay more for ‘darkness’ as power outage persists

Adebayo Adelabu, the minister of power, has said that the federal government will penalise power distribution firms (DisCos) that fail to provide Band A consumers with 20 hours of electricity.

According to the Minister, these changes are a result of the recently revised tariff system and are aimed at Band A power users.

The Nigerian Electricity Regulatory Commission (NERC) recently increased the tariff for users in the Band A category from N66/kWh to N225.kWh.

Band A consumers are defined by NERC as those who consume electricity for at least 20 hours per day.

Read also: The new electricity tariff beats the band backwards

In response to this development, Adelabu declared that the government would hold DisCos responsible if they fail to provide Band A consumers with 20 hours of electricity.

Adelabu further stated that five out of ten power transformers have been installed and commissioned, indicating that the presidential power initiative’s pilot stage is practically finished.

He added that, “Next phase involves upgrading the capacity of the transmission network. It will involve upgrading existing transmission substations, upgrading transformers, and the reconducting and installation of transmission lines”.