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NERC Approves New Tariff Hike For Port Harcourt DisCo

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In spire of calls that the recently hiked “Band A” tariff be reversed, the Nigerian Electricity Regulatory Commission (NERC) has approved a new tariff hike for the Port Harcourt Electricity Distribution Company (DisCo).
NERC permitted the PHED to raise tariffs for Band A customers categorised as Maximum Demand 2 Special (A – MD2 Special).
MD customers are customers that have a load of 45kVA and above. They also operate and maintain their dedicated transformers.
From N206 per kilowatt-hour, this category of customers within the Port Harcourt franchise will now pay N225/KWh.
In a regulatory instrument tagged June 2024 Supplementary Order to the Multi-Year Tariff Order – 2024 (“June 2024 Supplementary Order”) for Port Harcourt Electricity Distribution Plc, the NERC said the tariff approval was under the Tariff Review Application by PHED.
“Further to Section 23 of the MYTO-2024, this Supplementary Order seeks to reflect the changes in the pass-through indices outside the control of licensees including inflation rates, naira/dollar exchange rate, available generation capacity and gas price for the determination of Cost-Reflective Tariffs”, NERC stated.
The electricity regilator emphasised the basis for the review, saying the Naira to the US Dollar exchange rate of N1,469.06 per dollar has been adopted for June to December 2024. It said this has been determined by adding a 1 per cent transaction cost to the average foreign exchange rate of N1,454.52 during the period May 1 to 24, 2024 as obtained from the website of the Central Bank of Nigeria.
It also added that the Nigerian inflation rate of 33.69 per cent for April 2024 as published by the National Bureau of Statistics was applied to revise the Nigerian inflation rate projection for 2024.
“Under Section 116 of the Electricity Act and extant regulations, the commission has considered and approved for PHED, the tariffs (in Table 2) effective 1st June 2024. The approved tariffs shall remain in force subject to monthly adjustments of pass-through indices including inflation rates, naira/dollar exchange rates and gas-to-power prices.
“In line with the policy direction of the Federal Government of Nigeria on electricity subsidy, the allowed tariffs for Bands B – E customer categories shall remain frozen at the rates payable since December 2022 subject to further policy direction by the government.
“With this policy, the estimated subsidy benefit for customers under the PHED franchise in 2024 is approximately N11.49bn monthly”, the NERC stated.
In April, the NERC announced a new tariff for customers in Band A, from N68/KWh to N225/KWh.
It later reduced the tariff to N206.80/KWh based on the rebound of the naira.
Meanwhile, organised labour and manufacturers have kicked against the Band A tariff.

Nkpemenyie Mcdominic, Lagos

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Karu Market Inferno: Re-Allocate Shops To Original Owners, Senate Tells FCDA , AMAC

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The Senate yesterday expressed concern over recent spate of fire outbreak in markets while commiserating with traders in Karu Main Market over the huge losses.
Considering the plight of the traders, the Senate urged the Federal Capital Development Authority (FCDA) and Abuja Municipal Area Council (AMAC), to re – allocate shops affected by fire outbreak at Karu Main Market to original owners after reconstruction.
The upper chamber also urged the federal government through its Ministry of Humanitarian Affairs, Disaster Management, Social Development and National Emergency Management Agency (NEMA), to urgently make emergency palliative and relief provisions to cushion the effect of fire disaster on the victims.
The Senate consequently mandated its committees on Environment and Legislative compliance, to ensure strict compliance with the resolutions and report back within four weeks.
The resolutions were sequel to a motion sponsored to that effect by Senator IretiKingibe( Labour Party FCT) .
Senator Kingibe in the motion titled : “ The Karu Fire Outbreak and the Need for Safer Public Places “ , informed the Senate that the fire outbreak that occurred at Karu Main Market on June 27, 2024, left scores of traders in tears after goods worth billions of Naira were destroyed .
She specifically lamented that as disclosed by eye witness accounts, the inferno razed almost all the shops and destroyed food stuff, electronics, cosmetics, clothes among other consumables and non-consumable items worth billions of Naira.
‘ These fire outbreaks have become one too many already; with attendant losses running to billions of Naira. In the last six months, there have been several incidents of this nature. From Idumota Market Area in Lagos; to the Police Shopping Complex, Mararaba, Nasarawa State; to the Yan Katako Market, Rijiyar Lemu Area of Fagge LGA, Kano State, just to mention a few.
“ These fire outbreaks all had the same causative factors which hinged on basic building safety regulations that were either inadequate or not adhered to or out rightly not in place.
“This state of unpreparedness in safety management cuts across private homes, government buildings, open parks and gardens, markets, shopping malls, warehouses, sawmills, fuel tankers, gas and fuel stations, educational establishments, shops, clubs, hospitals, hotels, and restaurants: thereby exposing ourselves to avoidable mishaps”, she said .

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Support Nigeria’s Economic Reforms, Minister Urges UN

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Minister of Budget and Economic Planning, Senator Abubakar Bagudu, has called on the United Nations (UN) to show more deliberate support for Nigeria’s economic reforms.
He said such support would encourage other nations to make similar adjustments necessary for sustainable growth and development.
Bagudu made this appeal during a courtesy visit by the Deputy Director-General of the United Nations Industrial Development Organisation (UNIDO), Ms. Fatou Haidara, in Abuja.
Despite the substantial economic reforms introduced by President Bola Tinubu’s administration aimed at revitalising Nigeria’s economy, Bagudu expressed disappointment over the UN’s slow response in backing these initiatives.
“Over the past year, Nigeria has undertaken what we consider very bold and courageous reforms, almost at risk to our leadership. But we don’t think the system, particularly the United Nations system, has responded fast enough.
“We feel that we are missing maybe an element which will encourage other countries to embark on reforms if they don’t see the support”.
The Minister told Haidara that many developing countries believe the UN has not been meeting their expectations. She urged the UNIDO deputy director-general to relay this message to the UN system for corrective measures.
“This issue was discussed at the Non-Aligned Movement Summit in Uganda. Many countries thought the United Nations system was deviating from the ideals of its founding fathers. We are telling you this, so you can find a way of communicating the challenge or doing something about it”, he stated.
Despite these concerns, Bagudu expressed gratitude for UNIDO’s support for Nigeria’s industrial sector over the past 40 years, particularly highlighting the establishment of one of its investment and technology promotion centres in the country.
In her response, Haidara acknowledged Nigeria as a significant founding partner of UNIDO and noted the rewarding cooperation between the two entities over the years.

Her visit is intended to provide a status report on the ongoing cooperation and seek further guidance to enhance their partnership.

“My colleagues told me that all the meetings to design the Programme for Country Partnership (PCP) were held with your ministry and here.

“We are very honoured to be able to talk today about what we will be doing under this Programme for Country Partnership”, she said.

Haidara revealed that UNIDO had developed ‘Agenda 2063,’ a strategic framework aligning with the developmental priorities of African leaders, to support the continent’s growth and development.

The meeting underscored the importance of mutual support and collaboration in achieving sustainable economic growth, with Nigeria urging for more proactive engagement from the UN system to bolster its ambitious reform agenda.

Nneka Amaechi -Nnadi, Abuja

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FG Threatens To Revoke Sold Ikoyi Liaison Quarters

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The Minister of Interior, Mr. Olubunmi Tunji-Ojo, has expressed the Ministry’s determination to recover its liaison residential quarters allegedly sold by an undisclosed Director of the Ministry.
He gave the hint in Lagos on Monday while on tour of some facilities in the Federal Marriage Registry, Immigration Service, and Ikoyi Correctional Centre, all in Lagos, to be abreast with their operations.
The Minister said the sales of the properties will be revoked, not minding who is involved, because “we can not mortgage our future”.
According to him, “the government of President Ahmed Bola Tinubu’s Renewed Hope agenda would not let go of those involved in the illegally acquired government properties”.
In the same vein, while addressing journalists after the facilities tour at the correctional center, Ikoyi, he stated that “President Tinubu’s Renewed Hope agenda will continue to tackle and address all inherited jumble of problems of the past administration”.
He further explained that Mr. President as a patriot is braced up to address all inherited problems since assumption of office, adding that as a listener, he has showed concern about the inherited problems and never rested on his oars.
On Correctional Centre, Tunji-Ojo said, “I have always said, that urbanisation is real. So far, we have looked at some of these correctional centres across the country and we have been very keen on repositioning them.
“We want a real correctional centre in actual deed, not a place that will be psychologically damaging. We want offenders to come to correctional centres and be reformed.
“We think that the change of name from Prisons, which is a place of incarceration, to correction, simply means a place of transformation, and should take effect really.
“We want a change of ideology, a change in orientation, and change in our approach of methodology of formation so that people will see this place as a place of hope, and leave with the renewed hope”.
He further assured that the Ikoyi Correctional Centre will soon be relocated to a designated area properly deemed fit by the Federal Government.
Industry watchers commended the minister for making time to assess some of the dilapidated buildings and offices  warehousing his officials.
A senior officer of Immigration Service who did not want his name in print, said the Minister’s visit was not a witch hunting exercise but an assessment of performance of the ministries under his watch to enable him assess the problems inherited, adding that the Minister had an ample opportunity of critically observing activities on facilities visited and even said officialdom would not permit him to see.
The Minister was accompanied on the tours by the Director, Citizenship and Business, Mr. John Adinoron; Permanent Secretary, Ministry of Interior, Dr. Aishatu Gogo Naayako; and the Comptroller-General of Immigration Service, amongst others.

Nkemenyie Mcdonminic, Lagos

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