Lawyer Drags NERC, AEDC, AGF, Minister Of Power To Court Over Electricity Tariff Hike

A Senior Advocate of Nigeria (SAN), Joe Agi, has taken legal action against the National Electricity Regulatory Commission (NERC) and Abuja Electricity Distribution (AEDC) for allegedly raising his electricity tariff by 230 per cent.

The case is currently being heard by Justice Inyang Ekwo of the Federal High Court in Abuja, where Agi is seeking the protection of his fundamental rights.

In his application, the senior lawyer asks the court to declare that the new tariffs and the hours of supply violate the Electricity Act of 2023 and Section 42 of the 1999 Constitution.

The applications list NERC, the Minister of Power, Adebayo Adelabu; the Attorney-General of the Federation (AGF), Lateef Fagbemi, and AEDC as the first to fourth respondents, respectively.

In the attached affidavit submitted with the lawsuit, the attorney stated that he purchased 682kwh of utility from the AEDC on both March 23 and April 3, for a total of N50,000.

Furthermore, Agi declared that on April 6, he made another N50,000 utility purchase, but this time the value of the purchase was reduced to 206.7kwh.

He expressed his concern regarding this unexpected change but later discovered that the NERC and AEDC had implemented a system known as “bands” in the country. Under this system, NERC issued the April 2024 Supplementary Order to the Multi-Year Tariff Order 2024.

“That from the tariffs shared, the 1st and 4th respondents (NERC and AEDC) increased my tariffs by 230%, whereas others had theirs increased by 236%,177% and some others 0% in Nigeria.

“The tariffs are discriminatory and the hours of supply are discriminatory between consumers and consumer categories and should be cancelled,” the SAN prayed the court.

Agi criticized the statement made by NERC’s chairman, Musiliu Oseni, on April 1st, where he stated that “only 15% of the electricity consumers in the country who consume 40% of the nation’s electricity are the ones affected.”

In Agi’s view, this directive creates a distinction between the 15% and the remaining 85% of consumers in Nigeria, which he considers discriminatory.

He argued that the use of US Dollars to determine tariffs in Nigeria is unnecessary and goes against public policy.

Consequently, the applicant requested “a declaration that the NERC Supplementary Order to the MYTO 2024 is discriminatory, unconstitutional, and a clear violation of the applicant’s right to freedom from discrimination as guaranteed under Section 116 (2) (e) of the Electricity Act, 2023, and Section 42 of the 1999 Constitution (As Amended).”

He also stated that it violates the African Charter on Human and Peoples Right (Ratification and Enforcement) Act Cap A9 Vol. 1LEN 2004.

Agi also requested the court to declare that the use of the United States of American dollar exchange rate to determine the cost of tariffs in Nigeria is illegal, unconstitutional, and against public policy. Additionally, he sought an order to invalidate the NERC Supplementary Order to the MYTO 2024, as it is discriminatory and a clear violation of his right to freedom from discrimination as protected by the law.

However, no hearing date has been scheduled for this matter.

on April 3, NERC increased the electricity tariff for customers in the Band A category, who receive 20 hours of power supply daily, from N66/kWh to N225/kWh.