Judge Blocks NERC, KEDCO's Bid To Hike Electricity Prices

A Kano Federal High Court has issued an interim order, temporarily halting the National Electricity Regulatory Commission’s (NERC) plans to increase electricity tariffs for Band A customers in the state.

A Federal High Court has directed KEDCO to halt the implementation of the planned tariff increase, which would have raised electricity prices from N76.54/Kwh to N225/Kwh, pending further hearings.

Justice Abdullahi Muhammad Liman has instructed NERC and KEDCO to hold off on implementing the tariff hike, pending a thorough review of the applicants’ motion on notice, ensuring a fair and just outcome.

Justice Liman has put a stop to NERC and KEDCO’s attempts to bully the applicants, prohibiting them from threatening to disconnect electricity supply over non-compliance with the April 2024 supplementary order.

Justice Liman issued the order after carefully reviewing an urgent motion filed by the applicants’ counsel, Abubakar Balarabe Mahmud and Yahaya Isa Abdulkareem, and a supporting affidavit from Engineer Aliyu Jibrin Abdullahi.

The court order reads: “That the payment of the newly increased electricity tariff for “Band A” residents comprising of the Applicants is hereby suspended in the interim, pending the hearing and determination of the Motion on Notice filed along with this application.

“That the Defendants/Respondents either by themselves, agents, servants or privies are restrained in the interim from Implementing or continuing to give effect to the April 2024 Supplementary Order to Multi-Year Tariff Order 2024 for Kano Electricity Distribution Plc (April 2024 Supplementary Order) published by the 1st Respondent as Order/NERC/2024/035 which reviewed the Allowed Tariff from N76.54/kwh to N225/kwh or dealing or taking any steps howsoever described with respect to the April 2024 Supplementary Order pending the hearing and determination of the Motion on Notice.

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“That the Defendants/Respondents are restrained in the Interim from intimidation and threatening to disconnect the applicants’ electricity supply for non- acceptance of the April 2024 Supplementary Order pending the hearing and determination of the Motion on Notice.

“That the Interim Orders of Injunction issued by this Hon. Court is hereby directed to be published in any one National Daily with wide circulation in Nigeria.

“That Motion for Interlocutory Injunction is hereby fixed for hearing on the 16/05/2024,” the court order however reads.

A coalition of five companies – Supper Sack Limited, BBY Sack Limited, Mama Sannu Industries Limited, Dala Food Nigeria Limited, and Tofa Textile – alongside the Manufacturers Association of Nigeria (MAN) Co limited by guarantee, have taken a significant step by filing an application in the matter, paving the way for a potentially landmark legal outcome.

At the center of the legal storm are two key defendants: the National Electricity Regulation Commission (NERC) and the Kano Electricity Distribution Company Plc (KEDCO), who are set to face off against the applicants in a high-stakes battle.

Africa Today News, New York 

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