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NERC Says It Failed In Electricity Metering Scheme

By on December 21, 2012

Licensed electricity companies are likely to get an independent director who will be the watchdog of the board while NERC has confessed the failure of the metering system.

This development was disclosed by the Nigeria Electricity Regulatory Commission’s (NERC) Chairman, Dr. Sam Amadi, in Abuja, he said, “An independent director will be somebody who has not equity, interest connection with the company. “

Adding, Amadi said executive board members would be subject to tenure of five years, renewable twice.

“Electricity is a sector with long gestation of projects so we should have executives and management long enough to drive the investment plans, “he said.

He said the commission was not going to allow “the family business” syndrome that crumbled the banking industry to repeat itself here.

On the six-month minor review of the Multi-Year Tariff Order (MYTO), Amadi said, the commission left the tariff unchanged because there was no change in the pointers that would have sanctioned modification of the tariff.

He said the commission would review tariffs early next year following complaints of the Small and Medium Enterprises (SMEs).

He added, “We are working on classification of customers. The committee has finished its job and by first or second week next year, the committee would have rounded off. So rate application is one of the things we have done.”

Finally, he admitted the failure of the metering system, adding that NERC has a plan B, which will be announced next year.