“No More 24/7 Electricity”: FG Gives Orders to Reduce Electricity Supply to 3 African Countries

“No More 24/7 Electricity”: FG Gives Orders to Reduce Electricity Supply to 3 African Countries

  • The Nigerian government has mandated power-generating companies to reduce electricity supply to neighbouring countries
  • The Nigerian Electricity Regulatory Commission (NERC) gave the order following high indebtedness by the three countries
  • The directives mandated system operator to limit power generation to Togo, Benin Republic, and Niger to six per cent pending payment of debts

Legit.ng’s Pascal Oparada has reported on tech, energy, stocks, investment, and the economy for over a decade.

The Nigerian Electricity Regulatory Commission (NERC) is set to enhance power supply to domestic consumers following its orders directing the System Operator (SO) to cap supplies to international customers by 6 per cent of domestic supplies.

The affected countries include Togo, Benin Republic and the Niger Republic.

NERC reduces electricity supply to three countries
Nigeria orders power companies to cut down power supplies to neighboring countries. Credit: Novatis
Source: Getty Images

Togo, Benin Republic, others owe Nigeria N22.55bn 

The development comes amid a high level of indebtedness and non-remittance of electricity bills supplied to the countries over the years.

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NERC slashes electricity tariff for customers on Band A for all Discos

Nigeria sells electricity to neighboring countries such as Benin Republic, Togo, and Benin under the international treaty.

According to NERC’s 2023 quarter one report, the three countries owe Nigeria a combined N22.55 billion in electricity debt.

NERC stated that the non-payment of debts owed by international and bilateral customers continues a pattern that could cause the operator to invoke the provisions of the market rules to curtail the payment indiscipline displayed by those countries.

NERC orders power companies to limit power supplies

A NERC order of April 29, 2024, says the directive will last for six months in the first instance before the review from May 1, 2024.

Leadership reports that NERC's interim cap order on international customers aims to reduce the impact on domestic generating companies’ supply obligations.

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Nigeria supplies a part of the electricity it generates to some neighboring countries, such as Togo, the Benin Republic, and the Niger Republic.

Reports say the NERC order mandates that the countries' power supply must not exceed six percent of the total grid electricity at any time.

FG announces 300% increment in electricity tariff

Legit.ng previously reported that the federal government, through the Nigerian Electricity Regulatory Commission (NERC), has announced an increment in the electricity tariff, which customers under the band A classification will have to pay.

Musliu Oseni, the vice chairman of the NERC, made the increment known at a press conference in Abuja on Wednesday, April 3.

Oseni said customers would now have to pay N225 kilowatt per hour instead of N66, which was being paid previously.

Source: Legit.ng

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Pascal Oparada (Business editor) Pascal Oparada is a Mass Communications Graduate from Yaba College of Technology with over 10 years of experience in journalism. He has worked in reputable media organizations such as Daily Independent, TheNiche newspaper, and the Nigerian Xpress. He is a 2018 PwC Media Excellence Award winner. Email:pascal.oparada@corp.legit.ng