At the backdrop of a huge discrepancy between the number of feeders covered as Band A customers by electricity distribution companies (DisCos) and what was approved by the Nigeria Electricity Regulation Commission (NERC) the DisCos are now making moves to return more of their consumers to Band A to charge the new tariff.

Vanguard learnt that the DisCos had recorded 1,100 feeder coverage areas for Band A but NERC said the actual coverage area for the new tariff was only 480.

A source in one of the DisCos in Lagos told our correspondent that they are now working on increasing the number of Band A consumers to return those earlier removed by NERC back to Band A.

Recall that the NERC, on Tuesday, hiked electricity tariff, for Band A customers by 240 per cent from N68 per kilowatt hour to N225/kWh.

Band A customers are those who receive an average daily supply of electricity supply of 20 hours or more. With the new order issued by NERC, Band A would no longer enjoy Federal Government subsidy on electricity.

Meanwhile, the new tariff regime is expected to reduce subsidy costs by N137.1 billion per month following the decision to raise tariff for about two million consumers by 230 percent.

Vanguard